Capítulo 1653: Chapter 613: General Motors’ Predicant
The cold rain of Franklin Roosevelt’s inauguration speech was incessant.
Subsequently, Donnie took Michael to various parties following Franklin Roosevelt’s inauguration.
Michael’s negotiations with those Wall Street veterans continued, and Michael’s performance was visibly improving.
Now, for the first ti, these big players gathered in Washington witnessed Michael’s capabilities. Although he still appeared sowhat inexperienced in handling certain matters, his abilities had already been acknowledged by everyone.
Everything was moving in a positive direction.
Then, at this mont, Donnie received the news.
General Motors had problems.
Just the day after Franklin Roosevelt’s inauguration, thousands of sit-in strikers occupied General Motors’ factory located in Flint City, Michigan.
After receiving this news, Donnie rushed to Flint City, Michigan, at the first instance.
Donnie couldn’t help but take this matter seriously.
Although General Motors was not the most profitable group under the Venus Consortium, it was indeed one of the groups with the most workers under the Venus Consortium.
As one of the strongest economic feudal lords in the United States, the Venus Consortium, General Motors employed nearly 250,000 people, producing about 2 million cars and trucks in factories and assembly plants across the United States and the world each year… accounting for more than two-fifths of all automobiles produced in the United States and greatly exceeding one-third of the world’s automotive production.
Despite the company’s net earnings decreasing to an extre in 1932, by 1936 it grew to nearly 250 million US Dollars… an average of about 1000 US Dollars per employee.
The company largely avoided traditional types of competition, sharing 90% of the US automobile business with Ford Motor and Cadillac Company. The only contenders were those two giant companies ntioned above.
Among them, Cadillac Company was, like General Motors, affiliated with the Venus Consortium. Originally, in the tiline, Cadillac Company was not among the top three, but during the financial crisis, Donnie had approached Ford and Chrysler, seeking to invest in these two groups.
Ultimately, Ford Motor refused Donnie, but Chrysler couldn’t withstand the pressure from the financial crisis, allowing Venus Bank to invest in Chrysler.
After investing in Chrysler, Donnie proposed the suggestion of having Cadillac and Chrysler share sales channels.
This suggestion was collectively opposed by Chrysler’s managent, but ultimately, due to insufficient strength, they reluctantly accepted this suggestion.
Cadillac quickly started capturing Chrysler’s market by leveraging Chrysler’s channels.
Now Chrysler could only survive under Cadillac’s wing.
And following Venus Bank’s acquisition of General Motors from the DuPont Family, it no longer relied on Wall Street’s banking consortiums.
Simultaneously, General Motors could raise funds from inco and depreciation reserves, not only for replacing, improving, and expanding its factories, but also for engaging in various ventures in other economic fields, manufacturing refrigerators, airplane engines, diesel locomotives, and conducting more efficient technological research and developnt than private investors.
The most important thing is that the owner of General Motors, Donnie Block, exercised more power in the life of Aricans than any state governnt.
But in fact, since late December 1935, General Motors’ managent had been crippled by groups of employees occupying their key factories, rely sitting at their workstations and refusing anyone attempting to expel them.
The automotive production assembly line was blocked at these critical spots and gradually ca to a halt.
anwhile, the small town of Flint in Michigan beca a scene resembling a civil war.
And the root cause of this phenonon actually stemd from Franklin Roosevelt’s New Deal.
“Wasn’t there a law already allowing labor to organize?”
Michael not only had to learn what ordinary children learned but also had many extras he needed to learn.
For instance, right now, what he ntioned was actually the previously existing “Clayton Act” and “Norris-La Guardia Act” in the United States before Roosevelt’s New Deal.
Mackenzie Pop responded: “Those acts did exist before, but when they ca into legal practice, they were actually discounted.”
Michael realized, asking: “Then, the courts actually did not support these acts!”
Mackenzie Pop nodded, agreeing: “Exactly, so after President Roosevelt took office, 7A clause was added to the ‘National Industrial Recovery Act,’ followed by NRA regulations.
This led to the nationwide surge in joining labor unions!”
Donnie sat on the sofa in the hotel room’s living room, asking Mackenzie Pop: “Is John Lewis still organizing this strike?”
Mackenzie Pop nodded: “That’s right!”
Amid the surge in joining labor unions, most leaders of the Labor Federation in the United States… were slow to act, stubborn, conservative, devoted to old-style guilds, jealous of their judicial power… completely powerless.
However, a few of them suddenly took action, especially the thick-browed, big-eyed boss of the Miners’ Union, John Lewis, who seed transford.
In previous years, John Lewis was known for being dictatorial and troubleso, becoming unpopular among miners, but before General Motors employees initiated the strike, he took a gamble, staking the last coin in the Miners’ Union treasury, determined to launch a swift and decisive organizational battle.
Reviews
All reviews (0)