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by yummyfajitas 6241 days ago
UAW members did not get generous retirement benefits in lieu of money up front. They got above market wages up front AND generous retirement benefits.
1 comments

If they hadn't gotten such good retirement benefits, they would have gotten even more money up front.

Before the Japanese arrived on the scene, these contracts made perfect sense from the management's point of view, because American car companies were making money hand over fist. When competition from Japan became serious, such contracts still made sense, because they would rather pay later than pay now. And, well, "later" has arrived.