BURTON: BAILOUT PLAN SHOULD NOT BE RUSHED

More Time Is Needed to Discuss Conditions of Legislation, Says Burton

(Washington, D.C.) – The following statement was issued by Congressman Dan Burton (R-IN) prior to Wednesday’s vote:

“First and foremost, I am deeply sympathetic to autoworkers and their families whose livelihoods are on the line.  I know a total collapse of the auto industry would take a serious toll on communities in Indiana like Marion and Kokomo.  For these reasons, I want to see the Big Three become successful, but that success must be founded in sound business principles.

“I do not want Congress to hastily pass a bill in 24 or 48 hours without full consideration.  Many lives will be affected by this legislation and I think we should stay in Washington for at least a few more days, or longer, to make sure the automotive bill will put the auto industry on a path to making a profit, and also be a responsible investment of our citizens’ tax dollars.

“My colleague, Senator Bob Corker of Tennessee, outlined four conditions that I believe would help the automakers become viable and sustainable, and I strongly urge that these items be included in any legislation that we pass:

“One, existing bondholders get 30 cents on the dollar, which will reduce the automakers overall debt load.

“Two, wages are brought in-line with those of successful foreign competitors.

“Three, GM owes $23 billion to the UAW’s Voluntary Employees’ Beneficiary Association account.  The union must agree to take half of that payment in GM stock.

“Four, the union must end the practice of paying workers almost full compensation up to four years after their jobs have ended.

“I believe these conditions will help bring about sustained success for the auto industry, help the employees, and the people of Indiana and America.” insert text here

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