UAW Backs Idea of 'Car Czar'

DETROIT – The head of the United Auto Workers union said Monday that he would like the government to appoint a "car czar" who "knows something about the auto industry" to oversee the restructuring of the Big Three.

On the sidelines of the Detroit auto show, UAW President Ron Gettelfinger said he doesn't favor putting a Wall Street expert in the post.

"We welcome a car czar," Mr. Gettelfinger said in an interview with The Wall Street Journal, although he added that neither he nor the union has been asked for input on the matter.

"We haven't been contacted," he said. "I haven't been asked for input."

President-elect Barrack Obama is expected to appoint a car czar to supervise the restructuring of General Motors Corp. and Chrysler LLC that is being financed by low-cost loans from the U.S. government. President George W. Bush authorized the Treasury Department to lend GM and Chrysler $4 billion each. Both had said they were in danger of running out of money.

An auto czar would have broad powers to push the auto makers, their banks, creditors, suppliers and the union to give concessions to put GM and Chrysler on a path to profitability. Ford Motor Co. is also trying to end its losses, but has said it doesn't need short-term help.

Mr. Bush is leaving the appointment of a czar to his successor.

GM and Chrysler have already opened discussions with the UAW about cost cuts that could help them meet the Treasury's requirements, Mr. Gettelfinger said. The auo makers and the union are supposed to have plans hammered out by Feb. 17.

Mr. Gettelfinger said the union is willing to "do its part" as long as all the other parties also make sacrifices.

The union chief added that he thinks Mr. Obama is a "realist" and will take significant steps to stimulate the U.S. economy and revive auto sales.

Mr. Gettelfinger said he believes Chrysler needs to partner with another auto maker but will ultimately survive. "I don't know what Chrysler is going to look like, but it is going to be viable." In a year, "I think Chrysler will be here," he said.

 

Write to Neal E. Boudette at neal.boudette@wsj.com

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