Perfection of Rebirth

Chapter 765 The butt decides the head
For European and American companies, labor unions are a very special existence, and when it comes to company acquisitions, sales or layoffs, labor unions are even more special.

In European and American countries, trade unions are very powerful. Because of the support and protection of workers, wages, benefits, and working conditions have been rising rapidly and steadily, and finally raised to a level that is extremely troublesome for European and American companies.

When the United Auto Workers union obtained the "sole representation" in negotiating with auto companies such as General Motors and Ford for workers' rights through a series of strikes in 1936-1937, major auto companies in Detroit were forced to donate generously and continue to increase workers' wages Under the premise of this, generous benefits are also provided, and the cost burden of the "Big Three" continues to increase.

So far, GM and Ford workers are making $70-$78 an hour, nearly $30 more than the labor costs of Toyota and Honda at U.S. plants.

In addition, GM and other auto companies have to bear a heavy burden of pensions and medical benefits. The payment objects of medical benefits include employees, retired employees and their families, while Toyota and Honda have much smaller burdens. The relative cost of the cars increased by $1000 each.

In this way, burdened with human resource costs much heavier than those of Honda and Toyota, the market share of the three major U.S. auto companies has declined rapidly. However, their market shares climbed to 50% and 20% respectively.

So when Mulally said that in order to obtain the support of the Jaguar Land Rover union, they agreed to some promises, Jiang Hui believed it.

It is also thanks to Ford Motors communicating with the Jaguar Land Rover union in advance. Otherwise, even if Jiang Hui and Mulally reached an agreement today, it would probably take at least three to five months for Guanghui Motors to actually realize the acquisition.

"Yes, I agree," Jiang Hui said with a smile.

For Jiang Hui, the acquisition of Jaguar Land Rover must continue to invest in the research and development of new models, especially SUV models, which will be the most popular in China in the future.

Since there is no such constraint, Guanghui Group will also invest, so it is better to use this investment as a negotiation condition and use it as a waste.

"Jiang, if you don't spend less than 5 million U.S. dollars in research and development within three years, if you don't follow the promise, the union will go on strike," Mulally reminded.

At present, Jaguar Land Rover is in a state of loss. According to Ford Motor's calculation, it will be difficult to turn losses into profits in the next three years (however, it turns out that their calculation was wrong). A loss of billions or even billions of dollars, and additional funds must be invested in the development of new models. In Mulally's view, this is something that ordinary companies cannot accept.

"I know, I can write this item into the purchase agreement. I know your trade union is powerful, so I won't joke about such things," Jiang Hui said.

"You know, our union is very different from the Chinese union," Mulally said.

As we all know, in the early capitalist world, life was not as easy for workers as it is now.

At that time, there were no trade unions, and workers became a vulnerable group that was exploited and exploited by the capitalists. The happiness of the capitalists was based on the pain of the workers.

At this time, Marxism was born, and the theories of "Das Kapital" and "Scientific Socialism" inspired Western workers to organize their own trade unions, thus officially embarking on the road of fighting for their own destiny.Through a long struggle of blood and fire, Western governments were forced to recognize the legal status of trade unions, and the rights and interests of the working class were rapidly improved under the leadership of trade union organizations.

On the other hand, China, a country established through trade unions organizing strikes and peasant uprisings, not only abolished the peasant unions, but also placed the trade unions under the direct leadership of the government.

As a result, our trade unions have become official representatives, which have become increasingly distant from the workers.

After the reform and opening up and the market economy, the social status and wages of workers gradually fell to the bottom of the society, which made Chinese workers re-experience the tragic experience of early capitalism.

As an institution, the Chinese labor union still exists.

But it is no longer the trade union that it used to be, because the leading members of the union are no longer elected by the workers, and the income of the union leaders no longer comes from the membership dues paid by the workers.

Obviously, whoever makes them officials and whoever pays them, they will naturally obey.

When their status and income have nothing to do with workers, their role and function shifts from serving workers to assisting firms in managing workers.

In this way, when the wages of workers are growing slowly like a snail, the trade union will not stand up for the workers; when the benefits of the workers are poor, the trade union will not speak up for the workers; When workers are forced to sign labor contracts that seriously violate the spirit of labor laws, unions have long since disappeared.

In Jiang Hui's view, there are labor unions in China, but there are no labor unions!

Even Guanghui Group itself is the same. The so-called labor union is nothing more than helping to distribute fruits during the holidays, and then helping to organize it during the party

Others, it's nothing!

The so-called extremes must be reversed. In terms of the trade union system, China and Europe and the United States have gone to two extremes.

The trade unions in Europe and the United States are too strong, but the company is strongly suppressed everywhere, which seriously weakens the competitiveness of the company; the trade unions of the Chinese Dynasty have become the management organization of the company, and they have come to the opposite of the workers, so the workers of the Chinese Dynasty are reduced to being bullied by others. and the situation of slaughter.

In the long run, neither is suitable. Of course, existence is reasonable, and Jiang Hui has no way to change too much.

"The trade unions in the auto industry, especially in Europe and the United States, are famous for their strength. I have heard about it a long time ago, but I bought Jaguar Land Rover to restore the glory of this company with a glorious history. I believe my starting point and The starting point of their trade unions is the same, so no worries," Jiang Hui said.

"That's good. Let's take a break and let the legal department prepare the agreement. Let's sign a letter of intent today," Mulally said.

Although Brilliance Motors and Ford Motors have been in contact and communication for more than a year in the early stage, and the acquisition of Jaguar Land Rover has also been negotiated many times, but when it comes time to acquire, there is still no way to sign immediately, at least they have to Get ready for a day or two.

However, it has been more than a year, and Jiang Hui is not bad for a few days.

Although thousands of scouring and ten thousand drums are hard, blowing all the yellow sand can lead to gold.

There will be times when the wind and waves break, and the sails will be hung upright.

(End of this chapter)