Why Are AIG’s Contracts Sacrosanct But Not Union Workers’ Contracts?
Of course, not all contracts are sacrosanct. When Detroit’s Big Three arrived in Washington last year to plead for federal bailout funds, the right wing demanded that the United Auto Workers ignore their contracts and accept “steep cuts in pay and benefits” — on top of the cuts they already shouldered in 2007. The UAW agreed to “make major concessions in its contracts,” acceding to most of the right’s demands [Continue Reading] AIG’s turmoil depletes Obama’s political capital “Anger over bonuses paid to AIG execs blows back on president, initiatives President Obama’s apparent inability to block executive bonuses at insurance giant AIG has dealt a sharp blow to his young administration and is threatening to derail both public and congressional support for his ambitious political agenda. Politicians in both parties flocked to express outrage over $165 million in bonuses paid out to executives at the company, demanding answers from the president and swamping yesterday’s rollout of his eff
