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Lenny, the moves by the unions here in quebec would have seen hourly wages for "floor staff" increase at least 20% over the term of the contract, with major "shop rules" being put in place. It would not have been out of line to expect to see $15/hour staff stocking shelves, which just ain't gonna cut it at a discount retailer. No inflation of your position, it is what it is (the store was closed, now Walmart is being dragged in front of the labor relations board).
GM is suffering greatly from market share losses, but unlike a normal business that could easily adjust it's work force and manufacturing facilities, GM is bound be insane work rules, job counts, and legacy costs that pretty much wipe out any chance for a profit. Most of the contracts are written to maintain jobs and benefits, with few provisions for business down turns. GM is still paying for benefits granted in the 60's and 70's, long before competition came to the US market place. Yes, years of bad management and bad product have left them in a bad position, but Ford is also facing similar problems. The auto industry is one of the last big smoke stack industries that have survived in the US "as they were", but the pressure is there and something will give.
Minimum wage is a really difficult situation. If you make it too high, business cannot compete. If you make it too low, people cannot afford to live on that basic wage. A company like a WalMart of a McDonalds would not work the same way as it does if the basic wage paid got to be too high.
That you said there was a lineup of people wanting to work at Walmart new each week tells me that the job demand far outstrips the salary that is being paid. If the jobs were not acceptable, people wouldn't show up for them. It's pretty hard to arge supply and demand, even int he job market.
As for the medical issues, I think you need to look at your federal government to find out why this is a problem. Putting the weight of health care on individuals and companies is, in my mind, a major flaw of the United States, where more Americans live without health coverage than live without a car, a color TV, or a cell phone. Some things are just a little far out of whack.
Alex
Alex
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