Local Dana retirees say change must come to save U.S. automakers

LIMA - Something needs to be done to help the big three U.S. automakers, a group of retirees from Lima's Dana Spicer Driveshaft Division plant said Thursday.

A plan to rescue the automakers with up to $25 billion from the $700 billion Wall Street bailout bill stalled in the U.S. Senate. Even as lawmakers were scrambling Thursday to find an alternative plan, local leaders said something needs to be done.

"When you're talking about the Big Three and possibly going under that affects not only those working but also the retirees. Surely it affects the healthcare system," said Gary Frueh, president of the United Auto Workers Local 1765-Dana Retiree Chapter. "It's a scary situation not only for retirees but also for the whole country at some point. I heard it described as it's just a circle."

There are obvious implications for workers and their immediate families if the nation's three largest automakers were to collapse, Frueh said. There are also less obvious impacts.

"If the Big Three goes under we're talking about $160 billion a year in federal taxes down the drain," said Bernie Boedicker, the retiree union's sergeant-at-arms. "I think that's a mammoth hit especially with the trickle-down effect through parts suppliers and dealerships and whatever."

There are impacts to workers at the automakers as well as workers at plants that produce supplies for the automakers.

"The whole industry's been beaten down. It's affecting average Joe whether or not he can pay his bills, put food on the table," said Bryan McClurg, president of UAW Local 1765. "If he can't get a loan to buy a car how's the auto industry supposed to get around? They've got to bail out the banks, they've got to bail out the auto industry. It's not because of those greedy union people."

When Dana went through bankruptcy a couple of years ago, McClurg said, the union came up with $100 million in concessions out of the $125 million the company needed.

"It's scary. Real scary," said Kathy Patterson, the retiree chapter's recording secretary.

How do the automakers turn things around? It starts with the companies as well as the unions making changes, Frueh said.

"They have to get started," said Bill Frueh, the retiree union's treasurer. "They're starting to make the changes but they can't do it overnight."