Thursday, March 27, 2008

Other Than That, How Was The Play Mrs. Lincoln?

Ralphie points us to a Stephen Spruiell review of an Obama ad that doesn't seem like much of a change from the same old politics at National Review Online:

In the days leading up to the March 4 Ohio primary, Barack Obama's presidential campaign aired a TV ad that featured a man named Steven Schuyler standing in front of a Delphi Packard Electric plant in Warren, Ohio. In the ad, Schuyler says he worked for Delphi, an automotive supplier, for 13 years until NAFTA enabled the company to ship his job to Mexico. "Barack Obama was against NAFTA," Schuyler says, adding, "We need a president that will bring work into this country."

The Delphi ad might qualify as the most deceptive of the 2008 race. First, Delphi did not exist as an independent company when Congress passed NAFTA in 1993. It was part of General Motors until it was spun off as an independent supplier in 1999. Second, foreign competition did not drive the company to eliminate American jobs. It declared bankruptcy in 2005 because the legacy labor costs it inherited from GM made it impossible to compete against other U.S.-based suppliers. Third, workers at the Warren, Ohio plant were offered generous buyouts and early-retirement packages. Its employees were not just kicked to the street.

When Delphi became an independent company in 1999, it inherited GM's high-wage, high-benefit autoworkers' union contracts. Addressing reporters after Delphi declared bankruptcy in 2005, then-CEO Robert S. "Steve" Miller explained, "other U.S.-based suppliers, many of which were organized by the same unions...were paying less than half the automaker wages and benefits [that Delphi was paying]." Contrary to Obama's ad, domestic competition played a bigger role in Delphi's downfall than did competition from Mexico.


But other than that, the ad was an articulate, refreshing call for change.

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