I wrote a piece on this idea http://www.dailykos.com/... a couple of weeks ago that called for a kind of 'stealth' approach. At that time I expected Congress to provide a 'bailout', so it didn't seem important to put in much effort in pursuit of some other means to save/alter GM. Now, though, when Chapter 11 may be imminent, we should look at a better solution.
The UAW probably has tappable assets (including members' savings
that can buy a controlling interest at current stock prices. Will the market bid up that price? Yes - but with Chapter 11 looming and an ESOP as a possible outcome, most 'players' in the stock market will probably pass on the 'opportunity'. In other words I doubt that they will bid it up very far.
Of course, I'm assuming that the UAW folks would want to own/control GM, but it should be a reasonable assumption. But here's the follow-up problem: operating capital. This fits into my earlier diary in that I'm up for an investment - given acceptable by-laws and a goals statement that speaks to a 'green' vision.
This stage of the development can be incorporated in the ESOP organizing document or can be promulgated in an LLC type of organizational form - which might be a better vehicle than a strict ESOP. Who else would be interested? I suggest that union Machinists should be, since they are one of the most important groups within the auto industry's subcontractors and are seeing cutbacks within their primary industries, too.
If the ESOP or LLC could get to the stage of a serious project, I would expect a large number of us with 401Ks, plus some non-manufacturing unions, would see the potential benefit. And don't forget that one of the benefits is that we don't pull the rug out from under what is left of the U.S. economy.
So - I'm going to leave it at this for the moment. What are your thoughts?