Opinion pieces and speeches by EPI staff and associates.

[ THIS TESTIMONY WAS PRESENTED DURING THE U.S. HOUSE OF REPRESENTATIVES COMMITTEE ON EDUCATION AND THE WORKFORCE E-HEARING ON JANUARY 3, 2006. ]

The American automobile industry in crisis
Threats to middle-class jobs, wages, health care, and pensions

By Sylvia Allegretto

After filing for bankruptcy, the Delphi Corporation told the United Auto Workers union (UAW) that it wants to cut wages more than 50 percent and reduce benefits, including health insurance and vacation time. The 33,000 Delphi workers and their families depend on the earnings from their job to make ends meet. The proposed wage of $10-$12.50 an hour, down from an average of about $27 an hour, would therefore impose significant hardship on Delphi workers.

Read full text of the testimony in Adobe Acrobat PDF format.

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Sylvia Allegretto is an economist at the Economic Policy Institute in Washington, D.C.

[ POSTED TO VIEWPOINTS ON JANUARY 12, 2006. ]