BAILOUT SHOULD GO DIRECTLY TO WORKERS

Wrote the following column on Nov. 18, 2008

BAILOUT SHOULD GO DIRECTLY TO WORKERS
Auto industry executives can’t be trusted

By Martin Zabell

Multimillionaire business executives have already proven that they can’t be trusted with the money given to them by the U.S. government – the taxpayers’ money.

But, the $700 billion bailout program for financial institutions that was approved in October needs to be extended to the auto industry. If it isn’t, another Great Depression is possible.

To me, there’s only solution – give money DIRECTLY to all workers who are not in management.

This is a win-win situation. The people who deserve – and need – the money most get it while the greedy executives are prevented from misspending it. Yet, the money also helps the auto industry because it reduces the companies’ expenditures.

I guessed that the three major auto companies employ 500,000 workers and they’re paid $50,000 per year. My math is that is $25 billion. Isn’t that what the companies asked for?

Regardless of my estimates, why can’t the government in principle bail out the industry by giving the money directly to workers?