Comments on: Perils Of The Monopolistic Union http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/ Amateur Asset Allocator Thu, 11 Mar 2010 15:48:46 +0000 http://wordpress.org/?v=2.9 hourly 1 By: Wes http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-5945 Wes Wed, 28 Oct 2009 15:51:28 +0000 http://amateurassetallocator.com/?p=342#comment-5945 Toyota on Japanese soil actually has a very strong labor union, a byproduct of post WWII American intervention. The difference is that they've merged the union with the long term interests of the company. Union members are culturally expected to make a lifelong commitment to the company. They are financially motivated to make this commitment through a seniority pay scale, as well bonuses tied to Toyota profitability. ("The Machine That Changed The World" by Womack, Jones, and Roos, p. 52-54). The book leads me to believe that there is not a single UAW that governs relations with all of Japan's auto companies. Rather, each company has its own union, and jumping from union to union is difficult without substantial decreases in pay. Since bonuses are tied to performance, what Japan essentially has is a set of unions competing against each other. Toyota on Japanese soil actually has a very strong labor union, a byproduct of post WWII American intervention. The difference is that they’ve merged the union with the long term interests of the company. Union members are culturally expected to make a lifelong commitment to the company. They are financially motivated to make this commitment through a seniority pay scale, as well bonuses tied to Toyota profitability. (“The Machine That Changed The World” by Womack, Jones, and Roos, p. 52-54).

The book leads me to believe that there is not a single UAW that governs relations with all of Japan’s auto companies. Rather, each company has its own union, and jumping from union to union is difficult without substantial decreases in pay. Since bonuses are tied to performance, what Japan essentially has is a set of unions competing against each other.

]]> By: Tristan http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-3922 Tristan Wed, 22 Apr 2009 21:42:54 +0000 http://amateurassetallocator.com/?p=342#comment-3922 "While traditional corporations and labor unions may be structured slightly differently on the surface, they have identical objectives and even go about achieving them the same way." The objective of a corporation is to maximize shareholder profit. The objective of a union is to maximize the well being of its members. The structure of a corporation is tyrannical. The structure of a union is always democratic. “While traditional corporations and labor unions may be structured slightly differently on the surface, they have identical objectives and even go about achieving them the same way.”

The objective of a corporation is to maximize shareholder profit. The objective of a union is to maximize the well being of its members.

The structure of a corporation is tyrannical. The structure of a union is always democratic.

]]> By: What’s The Problem With Detroit? - Amateur Asset Allocator http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-2606 What’s The Problem With Detroit? - Amateur Asset Allocator Thu, 18 Dec 2008 23:16:50 +0000 http://amateurassetallocator.com/?p=342#comment-2606 [...] would be equally easy to point to the United Auto Workers union and exclaim “Their greed put management in a tight spot, saddling Detroit with unreasonable [...] [...] would be equally easy to point to the United Auto Workers union and exclaim “Their greed put management in a tight spot, saddling Detroit with unreasonable [...]

]]> By: Mr. ToughMoneyLove http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-2283 Mr. ToughMoneyLove Mon, 17 Nov 2008 02:10:44 +0000 http://amateurassetallocator.com/?p=342#comment-2283 Further to this point, isn't it ironic that the Dems are the ones now calling for a GM bailout. Why? To help the UAW. Further to this point, isn’t it ironic that the Dems are the ones now calling for a GM bailout. Why? To help the UAW.

]]> By: Andrew Knight http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-2237 Andrew Knight Wed, 12 Nov 2008 02:19:15 +0000 http://amateurassetallocator.com/?p=342#comment-2237 Hi Kyle, I'm emailing you in regards to an email I sent to you last month about a partnership, have you had a chance to think about it? If you have any questions or would more information, please advise me and we can go from there. Kind Regards, Andrew Knight Hi Kyle,

I’m emailing you in regards to an email I sent to you last month about a partnership, have you had a chance to think about it?

If you have any questions or would more information, please advise me and we can go from there.

Kind Regards,
Andrew Knight

]]> By: Curt http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-2235 Curt Tue, 11 Nov 2008 20:51:02 +0000 http://amateurassetallocator.com/?p=342#comment-2235 Great post and precisely why congress and Obama should let the auto makers go under, so that new auto makers can rise up to replace them without getting trapped into long term union labor contracts. Bailout them out, will only cause fewer and fewer new jobs to be created. Great post and precisely why congress and Obama should let the auto makers go under, so that new auto makers can rise up to replace them without getting trapped into long term union labor contracts. Bailout them out, will only cause fewer and fewer new jobs to be created.

]]> By: Unions Are Corporations, Too | Amateur Asset Allocator http://amateurassetallocator.com/2008/11/11/perils-of-the-monopolistic-union/comment-page-1/#comment-2232 Unions Are Corporations, Too | Amateur Asset Allocator Tue, 11 Nov 2008 18:09:57 +0000 http://amateurassetallocator.com/?p=342#comment-2232 [...] Disclaimer Privacy Policy ← Weekend Link Love And Carnival Roundup Perils Of The Monopolistic Union [...] [...] Disclaimer Privacy Policy ← Weekend Link Love And Carnival Roundup Perils Of The Monopolistic Union [...]

]]>