Wicker said in a press statement that the country could not afford to reward bad management with bailouts.
“I opposed this bill because I think it fails to get to the root of the problem. The Big Three were in financial straits before our economy slowed down due to a troubled business structure that ensured they couldn’t compete with other automakers. Now, they have asked for billions of dollars in taxpayer assistance to help survive. While the merits of using taxpayer funds to help save these companies can be debated, the fact is that this proposal falls well short of guaranteeing the needed reforms to keep these companies afloat. The U.S. government simply cannot continue to throw good money after bad using taxpayers’ dollars,” Wicker stated.
“This is an unfortunate reminder that Mississippi is not immune to the global economic slowdown,” wrote Wicker in reaction to the news. Ӆ [W]hile it may have been delayed by the economic downturn, I am confident Mississippi workers will still play an important part of that future.”
Mississippi workers have already played a huge role in allowing foreign auto manufacturers to duck the union presence in their home countries, however.
Mississippi AFL-CIO President Robert Shaffer pointed out that Nissan’s existing Mississippi plant has successfully fought off attempts to unionize since it arrived in 2003, giving them an unfair advantage against its unionized competitors in Detroit.
“What they do is they come to America and start a bidding war between these southern, right-to-work states, and taxpayers wind up subsidizing their arrival by paying for infrastructure and tax subsidies. Then they get to sell a product for less than their American counterparts,” Shaffer said.
The state, according to Gov. Haley Barbour, has already invested about $200 million in infrastructure development at the Blue Springs site while local governments have invested an additional $35 million. (Keep in mind this is money that is gone)
My question is, how will the state get its money back from Toyota? What domestic programs suffered to get this deal from Toyota?