Bimmerfest - BMW Forums - View Single Post - BMW Closes LA Warehouse; Lays Off Workers
View Single Post
Old 07-03-2011, 10:33 PM
Sloan165 Sloan165 is offline
Officially Welcomed to the 'Fest
Location: Vancouver, WA
Join Date: May 2011
Posts: 151
Mein Auto: 2006 530i
Originally Posted by BMW220i View Post
German labor is not competitive. VW cannot compete in the US and now has to resort to making cars in Mexico and the US for the American market. BMW, Mercedes, and Audi are only competitive since there is a domestic market for lots of fast and capable cars so that they sell some of those cars at a high price overseas.

Airlines used to do a lot, from aircraft cleaning to hotels. Later, they concentrated on their core business, what they knew what to do. Hotel, they spun off or sold. Some smaller business functions, they outsourced. BMW NA is doing this. They see that outside companies can do a better and more efficient job than they can.

Ultimately, a leaner and competitive BMW helps consumers. BMW cannot survive by simply saying "we have the best cars so we can overlook costs and then charge $50,000 for a 328i".

Of course, long time workers who counted on lifetime employment are in for a shock and probably a worse lifestyle.

It is too bad that all Americans are not so skilled, smart, and in demand that they would do the highest paying jobs and companies would have to import Mexicans to do unskilled work and work that needs less education (like the BMW parts depot).

It is also too bad that all but 3 of the 71 workers have potential problems ahead of them. Many of them have spent a lot and not had a nest egg. I hope that after 20 years of work, I will have a decent amount saved for retirement and also enough to last 3-5 years of unemployment followed by finding a lower paying job. That requires a lot of financial discipline.
I agree with most of what you said however the money that BMW saves won't go to give us better less expensive cars or even better engineering or simply better cars minus lessening the cost. It will simply go to the share holders who don't care about our cars like we do or the people who service this industry
2006 530i TitanGrau, Premium Pkg, Sport Pkg, Logic 7, Sport Seats, Heated Front Seats, Rear Power Shade, Steptronic
Reply With Quote