Auto Unions Try to Leap In Front of the Parade

The autoworker's unions looked around and realized the bailout parade was about to leave without them, so they've jumped in front with batons twirling:

First it was the heads of Detroit's Big Three automakers who offered public pledges to cut costs, shrink their vehicle lines, go green and slash their own salaries in the quest for a desperately needed government bailout.

On Wednesday, it was the workers' turn to sacrifice before crucial congressional hearings begin Thursday morning on the automakers' request for $34 billion in emergency loans.

United Auto Workers President Ron Gettelfinger said the union would allow General Motors . Corp., Ford Motor Co. and Chrysler to delay billions of dollars in payments to a retiree healthcare trust and suspend a controversial jobs bank that pays laid-off workers. The union also would consider other cost-cutting changes, he said.

The unions realized that if the auto companies end up in bankruptcy their leverage in any negotiations will be zip, zero, nada. Consequently, their best play is to offer negotiations now in hopes of encouraging Congress to go forward with the bailout and maybe the end result will be a better deal for the unions.