United Steelworkers (USW) President Leo W. Gerard today applauded an effort by the Obama administration to guarantee loans for strapped auto industry suppliers through a credit insurance program. The program makes an immediate $5 billion in financing available to suppliers to major car companies to collect against receivables owed to them by auto manufacturers. The program is a government guarantee against outstanding and yet-to-be remitted invoices that will be owed to suppliers, who have tightened up credit to the Big Three automakers.
“This is the right thing to get American manufacturing back on track. It will allow auto suppliers to stay in business and protect thousands of jobs, ’’ Gerard said. “All across America, we have workers in many industries who have been affected by the collapse of the auto industry ... more