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Post by Uxbridge on Dec 26, 2005 14:17:42 GMT -5
This Morning Senator James Uxbridge had these commits on the G.E. Power Plant issue. “ I expect to see the bought and paid for Democrats working for there Big Business pals Big Unions, no wonder we have seen Union membership drop to all time lows.”” What good does union membership do when only the leadership get paid?” “ Why do we not see Unions like the AFL-CIO do anything to help retrain there members for the new High Tech jobs like the ones G.E. has to offer at this plant?” “ Why my Brother Senator with a Republican Governor is seeking to take jobs away from the workers in my District is beyond me.” “ I will continue to work with the Governor of Il and Wisconsin along with my freind Mayor Daley to help get this plant built here in Il.”
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Post by Dennis Retton on Dec 26, 2005 23:53:04 GMT -5
Dem House Leader Continues to Woo GE Chiefs Over Plant
CHICAGO - House Minority Leader Dennis Retton (D-WV) reaffirmed his committment to the pro-labor movement in the Great Lakes, vowing that he would not stop fighting to make union inroads in the proposed new gas turbine plant -- despite setbacks which have GE officials actively looking at the West Coast as a base of operations.
Sources close to the negotiations, speaking on condition of anonymity, said that Retton had approached GE CEO Geoffrey Immelt with a package which includes a $300 million one-time tax offset against corporate taxes for investment expenditures incurred in the construction of the plant, six years of tax exemption on all revenues generated by the plant, and a proposed $600 million grant to Union Pacific for upgrading and maintenance of the railroad giant's "Overland Route" between Chicago and Los Angeles. Sources said that Retton plans to introduce the grant legislation in the House in the next few days.
Retton continued to defend his pro-union stance but bristled at the notion that he was in the AFL-CIO's pocket, as had been insinuated by members of the Republican party in recent days. "I come from a state with a strong pro-labor tradition, where we believe in unions as a way to protect workers' rights and give them a voice," Retton said. "It disheartens me greatly that certain members of the Republican Party, including some from this very region, continue to view unions with contempt and distrust. Their heads, as well as their hands, are so deeply buried in the pockets of big business that they refuse to see the light."
Retton once again praised General Electric, and thanked them for their consideration of Chicago and insisted it was still the best choice.
"I'm confident that we can reach an agreement that will see this new GE plant staffed with the people of Chicagoland," Retton said. "I believe this region is home to the heart and soul of American industry, and there's no place better for this GE plant to call home."
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Post by Rick Warder on Dec 27, 2005 3:17:30 GMT -5
OOC: I'm going to wait to give Owen Williams and chance to reply and then we'll gradually wrap up this scenario. Great going so far, folks. The final result will be out in around 24 hours.
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Post by Owen Williams on Dec 27, 2005 4:54:43 GMT -5
Senator Williams responded to the releases of those concerned with the GE turbine plant:
"First I wish to extend a public thanks to Geoffrey Immelt for his measured consideration of California's bid, this great state is always thankful to attract the interest of companies of such fame and respect as General Electric.
With regards to Mr. Immelt's concerns regarding transport costs due to a focus in Eastern Europe and Russia I would argue that transport costs will not be as adversely affected as he might think, and indeed transport to Russia and even Eastern Europe could even by cheaper from Los Angeles. Consider the proximity of Los Angeles to the deep-water port of Vladivostok, which is in turn one end of the superbly maintained Trans-Siberian railway. By building in California, General Electric will be able to roll it's products straight onto a rail line that runs across Russia and right into the heart of Eastern Europe, without having to face a single customs stop. Whereas to transport via the Atlantic would require ships to offload in Le Havre or Rotterdam and then having to cross several national borders before even getting to Russia, possibly requiring various line changes due to gauge differences. In summary I would argue that given the quality of infrastructure available both in Los Angeles thanks to our new intermodal port facility and in Vladivostok, transport cost increases will not be nearly as bad as as Mr. Immelt might surmise (OOC: Vladivostok, that was seriously a stroke of genius I don't care what the rest of you say).
With regards to Mayor Daley, clearly his attempt to deride California's availability of technical expertise was debunked by Governor Schwarzennegger who I thank for his ongoing support. That said I think Mayor Daley himself realizes that California's bid is far superiour and is clutching at straws, after all it does seem desperate to question the technical expertise of the state containing Silicon Valley, the UC system, CalTech and Jet Propulsion Laboratories, doesn't it?
Furthermore, I wish to once again point out the availability of non-union, competitive labour in California. Mr. Esteban of the Mexican-American Workers Cooperative has assured us of his organization being able to satisfy all needs for manual labour and administrative staff within 3 weeks. It has been clearly and definitively established that California can save General Electric on employee relocation costs due to the abundance of technical expertise in this state, so all that is left is for General Electric to make the smart business choice. A competitive, flexible, competent workforce, or a hostile, combative unionized workforce controlled by the AFL-CIO? California can provide the non-unionized workforce that fits General Electric's business model, whereas Illinois cannot, the issue would seem clear cut.
Finally I wish to announce an extra component of California's bid. Governor Schwarzennegger has just informed me that the State of California will make all materials used in the construction of the General Electric plant exempt from state sales' taxes. Thereby adding to the State of California's commitment of essentially free land for the first 7 years of operation.
Once again I reaffirm California's bid, we have the infrastructure, the capital, the people and most of all we have the will to make this turbine plant an unparalleled success to the mutual benefit of General Electric and the people of the great state of California!"
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Post by Rick Warder on Dec 27, 2005 15:47:13 GMT -5
G.E. enters into union negotiations from the Chicago Tribune
CHICAGO, IL - As negotiations intensify with a Californian trade delegation, Rep. Dennis Retton, for Illinois, has put down a last ditch offer of even bigger tax breaks and tax exemptions in an effort to retain the new G.E. facility. The crux of the matter is the demand by AFL-CIO representatives that the new facility be unionized. Mr. Retton, Mayor Daley and G.E. CEO Geoffrey Immelt have entered into 11th hour negotiations...
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In a smoke-filled room near the Chicago Loop, Mayor Daley and Geoffrey Immelt are paired across a table. Mayor Daley puffs contentedly on an illegally imported Cuban cigar, a personal gift from President Rick Warder. Danny O'Moloney, a local mob boss with a protection racket in the part of town where the G.E. facility is to be constructed is also present to ensure that 'unfortunate mechanical breakdowns don't happen'. A Real Chicago Pizza is at the center of the table, cold now since negotiations have been ongoing for hours.
Jacob Patterson, the AFL-CIO chairman for Chicago, is the first to speak: "Gentlemen, I think we all agree that what's most important is the union contract. If we can hammer a union contract out that gives G.E. flexibility, then we can all declare victory and head home."
Geoffrey Immelt: "That's going to have to be a lot of flexibility. We want to be able to fire people with notice, and we don't want any prohibitions on hiring scabs."
Mob boss: "Things go wrong, gentlemen. Remember that."
Mayor Daley: "All right, all right. Look, Chicago wants this plant, as Retton's shown. So let's reach an agreement here. What do you think, Patterson?"
Patterson: "We want health benefits, retirement benefits, and a six week notice in the event any employee is fired. And for any employee who's been working in the plant for more than 15 years, no firing except in the event of a serious cause. And for anyone who's been at the plant for more than 20 years, we want permanent health benefits and retirement benefits."
Immelt: "We're not having permanent benefits of anything. The furthest we'll go is doing collective bargaining over wages with you union types. And we can offer some health plans. Pension plans - out of the question."
Daley: "Mr. Retton, what do you think?"
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Post by Ethan Hall (D-IA) on Dec 27, 2005 16:04:43 GMT -5
Hall Backs Retton's Lobbying Efforts: "Chicago Right for GE"
DES MOINES - Congressman Ethan Hall (D-IA), a member of the Great Lakes Congressional delegation, thanked House Minority Leader Dennis Retton for his active support of bringing a GE Gas Plant to Chicago, Illinois. "Chicago is right for GE. All of their necessary resources are nearby in the region. The Great Lakes has an excellent and highly trained labor force, plus easy access to major transportation hubs." Hall went on to point out that easy access to ports on Lake Michigan, rail routes to the East Coast, and O'Hare International Airport made Chicago a logical location for many businesses.
"The California delegation," he added, "puts together a good proposal, but it falls short in some areas." Labor was his first concern upon hearing of the California proposal. "How is it cost effective for any business to move into California? The cost of living is very, very high - which means that they'll have to pay higher wages and benefits than normal, simply to be competitive in that market." Hall pointed out that is what should turn the table on the unionization debate. "Unionized workers will probably make less in Chicago in both wages and benefits, than non-unionized workers would have to make in California. When you take into account all of the tax benefits that Dennis has offered, plus our transportation benefits - there's really no debate."
Asked why getting GE into Chicago was so important, Hall laughed, "Jobs, my friend. Chicago has been hit like everybody else and a new industry into our region will help our economy.
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Post by Owen Williams on Dec 28, 2005 4:55:21 GMT -5
OOC: Can I get a GE response to my last post?
Senator Williams continued to press the California bid:
"The fact that the AFL-CIO has forced GE into negotiations over union benefits is an example of the kind of unecessary labour strife that General Electric faces by building in Chicago. General Electric is clearly seeking flexibility, which is exactly what California offers, a flexible labour market that will allow General Electric to replace inefficient employees as necessary. By building in Chicago General Electric locks itself into relying on the politicaly motivated AFL-CIO for its labour, which is clearly an undesirable situation from a business perspective. In addition it has been rumoured that a local mob boss has been involved in some negotiations regarding this gas turbine plant, surely General Electric does not wish to have to consort with criminals in order to get its labour? This is the 21st century, not the 1950s, companies should not be forced to resort to use criminal syndicates to get their labour requirements and this is just one more positive aspect of the Californian bid. I once again reaffirm the Californian bid and it's ability to provide highly skilled technicians and engineers and a competitve and flexible manual workforce.
Furthermore I wish to respond to the comments of Representative Ethan Hall. Representative Hall's proximity to each bid has caused him to misrepresent certain aspects of the bids and I should like to clear those up. He would have us believe that the entirety of California has a higher cost of living than Chicago, it is true that some parts of California are more expensive to live in than Chicago, but it is equally true that there are ares of California which are cheaper to live in than areas of Chicago. The fact is, the workers for this plant won't be coming from Beverly Hills, and in addition Rep. Hall has missed a large portion of the unionization debate. This isn't simply about the accounting cost of labour, unionization cuts down on flexibility and will also adversely affect efficiency as General Electric will be prevented from removing inefficient employees. The simple fact of the matter is, non-unionized workforces are inevitably more efficient than unionized ones.
Once again, I encourage General Electric and it's CEO, Mr. Immelt to make a business choice for the 21st century, Chicago and it's unions have long been consigned to the rust belt of the Midwest. The sun and surf of California is the way forward for General Electric and I trust that in good time, Mr. Immelt will come to see this through the quality and completeness of the Californian bid."
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Post by Rick Warder on Dec 28, 2005 5:15:17 GMT -5
G.E. acknowledges Sen. Williams from The Chicago Tribune
CHICAGO, IL - Sen. Owen Williams continues to make waves in an effort to bring General Electric to Los Angeles. A speaker for G.E. said that "the company is seriously considering the senator's offers and appreciates the considerable interest that California is paying with respect to the G.E. facility." However, "as negotiations with Rep. Retton and the unions are ongoing, we are unwilling to bindingly reject or accept any further offers. G.E. has been given substantial tax offsets and exemptions and we are taking a look at the specific union contract which is being put forward, its terms, conditions and its extent."
This is a stark departure from G.E.'s previous statements that they would under "no circumstances" give any consideration to unionizing the new plant.
OOC: Really great work, all of you. I'm not looking forward to coming down for or against either one of you. You BOTH deserve a plant! ;-P
E.
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