Salary Cramdown

The automotive market is absolutely brutal. And it's taking its tolls on the white collar staff.

Ford and GM have both imposed salary reductions, loss of bonuses, elimination of 401(k) match, non-paid shutdowns. Chrysler has imposed some aggressive cost savings ideas as well.

Now those of us in this turd of an industry have to make sacrifices right now. I've been pretty clear about this in discussions with friends and colleagues over the last 6 years. My turn was two weeks ago as I had to take a substantial salary reduction. And believe me, I'm not complaining - it's better to have a job. But...

The salary reductions are hitting what I consider to be reasonably paid, valuable engineers. What will this mean in the next five years? These employees aren't UAW (United Against Work) guys who cannot possibly hope to make what they used to make. I believe that once the economy recovers, affected engineers will leave this industry. What will happen to the Detroit 3 then?

Once again, I fear the industry is destroying its future by not understanding the consequences of the actions of the present.