Sunday, June 7, 2009

Democrats Discover Dealergate

Yesterday, House Democrats sent a letter to President Obama asking for a "compelling justification" for the closing of Chrysler and GM dealerships. They finally realized some of these dealerships are in their districts and the methodology used to select which dealerships to close smells "very fishy." From Politico:
We are writing to express our concerns about General Motors' and Chrysler's decision to close profitable automobile dealerships across the country, and urge you to ask GM and Chrysler to delay final action on proposed closures pending further review of the decision to consolidate dealerships and the process by which Chrysler and GM selected the dealerships to close.

Closing these dealerships will put over 100,000 jobs at risk at a time when our country is shedding jobs at an alarming rate. We also question the criteria being used to determine which dealerships should be closed and the fundamental fairness involved in this effort. It is our view that the market rather than leaving it up to the manufacturers whose poor leadership contributed to their demise. Furthermore, we believe car dealers will be key players in any effort to revive the American auto industry.

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