A TRILLION REASONS TO WORRY

MARKET CRASHES ON BAILOUT FAILURE
LAYOFFS INEVITABLE

Yesterday the stock market lost over a trillion dollars of value after congress voted down the bailout rescue of the major mega-financial institutions that control capital and lending. Why should we worry? This decision will have a direct impact on every American citizen right down to all of us working America’s vital transportation industry.

Jobs will be lost. It was inevitable that we were going to have industry consolidation because of the nature of the economy but this decision will hasten the destruction of literally millions of worldwide jobs causing capital to stiffen and make more difficult the ability of all consumers and borrowers to compete for ever shrinking sources of money.

Even major corporations like Delta will have to compete for capital to utilize in day-to-day operations. The problems facing America did not happen over night and the solutions will not be readily available for any near term. The pain will be deep and lasting and millions of jobs will disappear.

We want all of us to prepare for the bad news coming. Unions cannot prevent recessions and will not be able to curtail layoffs. However, unions provide rights that non-union companies do not in the event of retrenchment and contraction.

The likely scenario is that after the merger is finalized many employees will no longer be needed in cities that have both Delta and Northwest representation. There is even a greater likelihood that Delta will move swiftly in non-union Delta cities to contract out most of the above and below wing employees. Those of us who are left will be the target for whatever cuts Delta wants to impose - without the union, many of us will be reduced to subsistence level, part time employment; why do we know this? Because this is what Richard Anderson attempted to do at Northwest during the difficult months before their bankruptcy?

If not for the diligent work of the IAM, thousands of jobs would have been lost.

With our country facing the most difficult financial crisis since 911 or perhaps even the Great Depression of 1929, Delta will not hesitate to act in its own best self interest and get rid of as many of us as possible. They view us as a cash liability and will not shed a tear over our departure.

We implore all Delta employees to pay close attention to the world around us and heed the call to mobilize for the coming onslaught. It is essential that everyone understands the ramifications of today’s economic crisis; it’s not just your 401k that is going to shrivel up over the next few days and perhaps blow away, we could all be vulnerable to the ax.

Time is running short to gain the protection of a union contract and have the ability of movement and call back rights in the event of displacement, layoff or perhaps termination. It is not our intention to scare everyone but the truth should come from someone. Our economic future is in peril and we need to protect our situation and work environment. This is precisely the expertise that unions can provide; a stable source of support, information and protection during the bad times.

Let’s get busy knowing who our real friends are and reach out for the only lifeline that anyone is extending to any of us right now. Time for the IAM.