MercoPress. South Atlantic News Agency
Brazilian hard line unions win conflict and beat moderates in elections
Workers at a General Motors Co car factory in Brazil ended a six-day strike on Thursday after the company dropped plans to lay off 800 employees, the union said, ending the latest labor standoff in the troubled Brazilian auto industry. Read full article
Comments
Disclaimer & comment rulesThe troubled Brazilian auto industry produced 3.2 million cars in 2014 and the Brazilian market consumed 3.3 million. What makes Brazil the world's fourth largest car market, and that in a year of crisis and recession.
Feb 27th, 2015 - 10:33 am - Link - Report abuse 0The problem is not the Brazilian market. The problem is the incompetence of US and European companies.
Year after year the US industries are losing ground in the Brazilian market, while the eastern companies increase their market share. And this not only in the case of automobiles, as well as in the cases of mobile, computers, appliances, etc.
The companies that are gaining ground in our market are Brazilian, Chinese and Korean.
The US decline is visible in all areas of human activity. And while South America is close to them, the decline also hit us.
We need to move away from the West. That is the only hope.
Brassie
Feb 27th, 2015 - 10:46 am - Link - Report abuse 0You are right the US companies need to move out of Brazil as the Brassies are lazy bastards. If the US companies can't make a profit then why stay. Good luck with that.
@1 Put down the crack pipe you egghead.
Feb 27th, 2015 - 10:54 am - Link - Report abuse 0You have the same problem as us, no one wants to work and everyone wants a paycheck just for showing up when they feel like it.
No company is going to invest with hard line unions controlling the show.
Brazil is turning into another Venezuela.
Nice quote Brasso, where did you steal it from?
Feb 27th, 2015 - 02:58 pm - Link - Report abuse 0Brasshole have you heard of protectionism and the extremely high costs to Brazilian consumers for cars? Your socialist bullshit is killing the place.
Feb 27th, 2015 - 03:39 pm - Link - Report abuse 0Car manufacturing is essentially low end manufacturing, which is why companies keep moving their facilities to poorer countries with low skills. Because they are cheaper. It's why Argentina and Brazil so desperately want this industry.
Feb 27th, 2015 - 03:43 pm - Link - Report abuse 0Thankfully my country learnt this and the government cut off the spigot of subsidies. The car companies are duly leaving now.
I'm sure that eventually I will have the option to buy Brazilian made cars one day in the future. However I wouldn't touch one that didn't have German, American, Japanese or Korean (in other words, western) quality control.
Indeed there aren't many Chinese made cars that can be sold in Australia. Way too unsafe.
@ 6 Skip
Feb 27th, 2015 - 04:36 pm - Link - Report abuse 0“Car manufacturing is essentially low end manufacturing”
In China it is but not so for western companies wherever they are located. Think of VW and FIAT in Poland.
Yes, the people are not as highly paid but they still have all the welding, painting and assembly robots needed to ensure consistent build quality.
I was more than concerned to see what is happening with the economy in Australia lately. This from my international money trader:
“The Australian dollar is expected to continue its decline, which began three years ago. It is forecast to erode further this week amid expectations that the Reserve Bank of Australia will follow other central banks and weaken its currency when the bank meets in February. They are expected to cut the overnight borrowing rate, which stands at 2.5 percent.
Many analysts are forecasting that China will continue to slow this year and a global demand for commodities will weaken more. Therefore, a strong headwind for the Australian economy and its currency is expected to remain in place for an extended period.”
Cutting subsidies is only sensible when the subsidy exceeds the dole money paid to those poor sods who would lose their jobs. Also, the loss in international prestige of having car makers leave the country is not a good thing.
@1. Wouldn't have anything to do with the Brazilian recession then? I'll bet the US and European car makers are devastated that their 'share' of the Brazilian market might drop from 84% to 70%. Is it possible that raising the tax on imported cars from 25% to 55% might have had effect? Here's how it works. In the US a Toyota Corolla is priced at $16,200. In the Brazil the same vehicle is priced at $29,000. Good to see that the first quarter growth has been revised from 0.2% to -0.2%. Truth from somewhere? And in the second quarter the economy contracted by 0.6%. Basically, Rousseff is a bummer. It's the latam way.
Feb 27th, 2015 - 05:05 pm - Link - Report abuse 0http://en.mercopress.com/2015/02/27/brazilian-hard-line-unions-win-conflict-and-beat-moderates-in-elections#comment382905: So, what is your justification for your expectation of a pay check just for showing up?
Feb 28th, 2015 - 03:14 am - Link - Report abuse 0@Hepititas
Feb 28th, 2015 - 08:40 pm - Link - Report abuse 0Unions have killed this countries productivity and many employers (myself included) are too scared to hire as they can't fire useless employees.
Maybe if they showed up everyday and worked hard instead of having such a terrible work ethic.
http://en.mercopress.com/2015/02/27/brazilian-hard-line-unions-win-conflict-and-beat-moderates-in-elections#comment383266: Of course you're scared. You've always been scared. And you always will be scared. Fear is the only emotion you feel. If you were not scared you would be dead.
Mar 02nd, 2015 - 02:50 am - Link - Report abuse 0And while you cower shaking in some dark corner, waiting for some itinerant junta to come along and rescue you, those who are intrinsically more capable than you are making business and prospering. Loser!
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