Having worked for 2 of the Big Three, I have first hand experience of both the poor organization as well as the excessive worker compensation. They should go into court supervised restructuring along with negotiations with the government to fund restructuring costs that the lead to a sustainable business.

A direct bailout will just prolong the inevitable. It’s going to hurt; people are going to lose their jobs; that’s reality. Chrysler likely will go under. This is the time to suck it up and fix the companies.

Onto more serious matters, I heard an interesting comment on CBC Newsworld when they were interviewing a Schulich business prof. He stated like you said that the Big 3 screwed it up big time and should be left to die but now isn’t the time to pass that judgment on them.

A bailout is still needed to protect already wavering consumer confidence. The majority of people don’t know that the companies are failing as a result of mismanagement and instead think that its as a result of the financial crisis and the American recession. If these consumers were to see 3 multi billion dollar corporations fail hysteria would ensue and people would very quickly stop spending , causing the world wide economic situation to become even worse.