The $474,000 GM job
With sales and profits up at General Motors, proponents of the 2009 automotive bailout for GM (and Chrysler) now assert the taxpayer-financed rescue was a success.
It was a costly exercise. The federal and Ontario governments loaned $13.7-billion to the two companies in fiscal 2009-10. That was 38% of the $36-billion in corporate income tax revenue collected by both governments that year.
After subtracting the partial repayment made by both companies, the governments’ sale of some shares obtained via the bailout, and the present value of GM stock still held by the two governments, taxpayers are still out $810-million on the Chrysler bailout and $4.74-billion on the GM loan. That’s an estimated $5.5-billion loss, which will fluctuate only slightly, depending on the final GM share price when governments relinquish their remaining shares.
On jobs, three years later, the current employee count in Canada is 10,000 at GM (down from 12,000 in early 2009) and 9,000 at Chrysler (down from 9,800 in 2009). Using present employee counts, that means taxpayers offered up a $90,000 subsidy per Chrysler employee and a $474,000 subsidy per GM employee.
Mais les idéologues de gauches continuent de dire que le bailout de GM a été un succès. En 2009, 259 000 jobs ont été perdues au Canada, aucun bailout pour ces gens. Pourtant, l’économie a fini par redécoller.