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Michigan Autoworkers Face Uncertain Future

Prospects for extending a federal rescue package to Detroit's Big Three automakers remain unclear after a congressional effort stalled until December. Paul Solman speaks with autoworkers about how the crisis is affecting them.

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  • JUDY WOODRUFF:

    Now, back in the U.S., how the men and women who work for the auto industry see its troubles and plans for the future.

    It was an especially bad week for the big three. They failed to persuade Congress to give them a loan, at least for now.

    And then today's announcement, amid falling sales, that GM will extend its seasonal plant closings.

    We sent our economics correspondent, Paul Solman, to visit a GM facility in Michigan this week to see how life there has changed.

    PAUL SOLMAN, NewsHour economics correspondent: A jewel in the rusting crown, a GM assembly plant in Lansing, Michigan, built in the heart of union country just two years ago.

    Congress has given GM until Dec. 2 to make a new case for why it should be saved. And this plant could be Exhibit 1-A, evidence that the company can finally compete with anyone in the world.

    Exhibit 1-B, a nearby GM plant that makes the Cadillac CTS, brought here to show to us.

    HEIDI MAGYAR, GM communications manager: And this year, it was the 2008 Motor Trend Car of the Year.

  • PAUL SOLMAN:

    Highly rated crossovers, SUVs built on car platforms, are made here and sold all over the world.

  • HEIDI MAGYAR:

    The GMC Acadia goes to the Middle East. The Buick Enclave is shipping to China.

  • PAUL SOLMAN:

    Heidi Magyar handles plant media relations.

  • HEIDI MAGYAR:

    The Buick name plate in China is huge. It dates back to the days of the emperor. The emperors drove Buicks.

  • PAUL SOLMAN:

    And the Michigan plant that makes these still-selling vehicles has snagged the industry's top manufacturing awards.

    Earlier this week, the big three higher-ups had stated their case before Congress. They didn't exactly succeed.

    So we went instead to the factory floor to hear how the somewhat-lower-downs would make the case.

    Brian Fredline is president of the union local.

    BRIAN FREDLINE, president, UAW Local 602: We've got great products coming out in '09 and 2010. You may as well consider GM to be a start-up company and we need a bridge loan to meet the contractual obligations until we get our product to market.