During an appearance on NBC’s “Meet the Press” President-elect Barack Obama said that he supports the auto industry aid and called for a short-term government bailout to restructure the entire industry. At one point, Obama suggest that some executives should lose their jobs.
However, Democratic Congress, Sen. Christopher Dodd of Connecticut was far more outspoken on who he thought should lose their jobs as CEOs and pointed to GM’s Rick Wagoner saying that he “has to move on.”
Obama on the other did not single out any single executive but said that the current management should be ousted if it doesn’t understand the urgency to make changes in their business plans and in the industry.
“What we haven’t seen is a sense of urgency and the willingness to make tough decisions. And what we still see are executive compensation packages for the auto industry that are out of line compared to their competitors, their Japanese competitors, who are doing a lot better,” Obama said during the broadcast.
“The last thing I want to see happen is for the auto industry to disappear, but I’m also concerned that we don’t put $10 billion or $20 billion or $30 billion or whatever billion dollars into an industry, and then, six months to a year later, they come back hat in hand and say, ‘Give me more.’”