More GM Troubles?

With all the rumors of Robby possibly headed back to Chevy, I thought this was of interest...

"Scottsdale, AZ., Sept. 24, 2008 - According to Automotive News' Chrissie Thompson, Bill Heard Enterprises, the country's top Chevrolet dealer group, is closing the doors at all of its 13 dealerships at the end of business today, according to a person with knowledge of the situation.

The company notified the stores' general managers at 2 p.m. today, the source said, who spoke anonymously because he was not authorized to speak.

High fuel prices, cancelled floorplanning from GMAC Financial Services, a reliance on trucks and SUVs, a soft national economy and struggles in local markets had troubled the company, which on Sept. 12 closed its store in Scottsdale, Ariz.

In the end, the company could not raise operating capital and could not finance its floorplan, the source said. Company officials have discussed closing the company since Friday, the source said.

Bill Heard Enterprises, of Columbus, Ga., ranks No. 13 on the Automotive News list of the top 125 U.S. dealership groups, with 2007 group revenue of $2.13 billion.

I have read that if GMAC started having trouble, that would be big trouble for GM.
To let the #1 Chevy dealer go belly up is uncharacteristic. Could be just the beginning.

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Permalink Reply by brian campbell on September 25, 2008 at 4:43pm

i was in the ironworkers union local 416 when work got slow they said no work no pay when i went to work for a non union company to put food on my family's table they wanted to fine me for working even though they had non.FUCK THEM you got to do what you got to do to make life what you want.
good point john

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Permalink Reply by deantac on September 25, 2008 at 6:07pm

THE BENEFITS OF UNIONS
Workers join unions for dignity, respect and a voice on the job in addition to increased pay and benefits. A newly released survey from the Bureau of Labor Statistics details the increased benefits received by union workers compared to non-union workers

Retirement
After years of service, workers deserve a secure retirement. Unfortunately, only 44 percent of non-union workers receive retirement benefits; either defined benefit, defined contribution or both. Just 14 percent have a defined benefit plan that pays out a set amount every month, regardless of fluctuations in the stock market. Thirty-six percent have riskier defined contribution plans like 401(k)s whose payouts rise and fall with the investments that make-up the plan. As employees at Enron and WorldCom have discovered, defined contribution retirement funds may not be there when it’s time to retire. In stark contrast, 83 percent of union workers have retirement benefits and nearly 70 percent have the safer, defined benefit plans.

Health care
In the absence of universal health coverage, most Americans count on employers to provide medical, dental and vision care. Leaving the provision of these benefits to employers means that nearly 50 percent of all workers have no medical care through their employer, and far fewer have dental and vision coverage. However, for union workers that is not the case. Seventy-five percent of all private sector union workers have medical benefits, 53 percent have dental care and 41 percent have vision care.

Life Insurance
Life insurance is an important benefit for working families, and once again, union workers are much more likely than their non-union counterparts to receive it, 82 percent compared to 51 percent.

Disability
Short and long term disability benefits provide income security in the case of a disabling accident or illness. While there is not much difference between union and non-union workers in their receipt of long-term disability benefits, 28 percent and 25 percent respectively, there is a large gap when it comes to short-term disability. With 70 percent of union workers receiving benefits, compared to just 30 percent of non-union workers, the advantage of union representation is clear.

Paid Time Off
Trying to balance work and family is difficult at best, but it’s even harder without paid time off. This is yet another area where union workers fare better than non-union workers. Ninety-three percent of union workers receive paid vacations, versus 79 percent of non-union workers. Similarly, union workers are more likely to receive paid holidays (89 percent compared to 76 percent).

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Permalink Reply by deantac on September 25, 2008 at 6:15pm

My union we give back and make concessions over and over to the company. i make less money now and have fewer benifits than 10 years ago. we work with the company to have a contract we both can live and raise a familiy with. my company netted 100 million last year.

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Permalink Reply by deantac on September 25, 2008 at 6:20pm

Just so i'm clear i'm not a UAW member. and the UAW union is not with out blame in this auto industry mess. not all unions are the same bad leadership is everywere.

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Permalink Reply by Robbie on September 25, 2008 at 8:10pm

I'm in the auto biz....I worked for a Chevy store for 8 years as a finance manager.....Let me just say this...Bill heard has a terrible rep here in Florida.They are currently facing a 50 million dollar law suit here for fraudulant advertising practices,not to mention they were caught red handed trying to defraud GMAC by lying about their inventory levels.IMHO they got what they deserved....Do some research...it's horrifying the # of consumer complaints.We can bitch about unions...non-unions or whatever...this was about pure greed......OK I feel better now...lol