The labor situation has become so dire that you can now hire an American Blue Chip CEO for a dollar – and a ride to work.

I’ve already reported in these pages as to how many of the top officers of the few remaining grand old Wall Street houses are forgoing bonuses this year. Now we hear that GM’s Rick Wagoner and Ford’s Alan Mulally have cut themselves back to a mere dollar each for 2009.

They are not the only folks willing to do a lot more for a tad less. One of the peculiar byproducts of these uncertain times is a sudden 1.3% increase in U.S. worker productivity.

It’s a Recession (At Least) After All

Last month (officially the 11th in our newly christened recession) saw another 250,000 jobs eliminated, making it the worst November since 2001. With unemployment hovering somewhere between 6.5%

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Congress Plays Goldilocks as UAW Concedes

Today, executives from General Motors (NYSE: GM), Ford (NYSE: F) and Chrysler are returning to Washington to seek bailout funds, loans and assistance. It remains to be seen if they will get the help they need. Sixty-one percent of Americans don’t believe they should.

It’s playing out like a twisted fairytale on Capital Hill as request amounts near $34 billion. One automaker needs a little more, one needs less, and one is about right.

The problem is that Congress is playing the role of Goldilocks - it has all the gold. And it’s risking being mauled by bears.

It’s torn between letting the auto industry die (or reform itself) with dignity, bail out failing automakers and undermine the essence of capitalism, or risk impacting one in 10 U.S. jobs. None of these choices are easy, or popular.

Yesterday, the UAW union said it would make major

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The U.S. “Big Three” of General Motors Corp. (GM), Ford Motor Co. (F), and Chrysler Corp. submitted their turnaround plans to Congress yesterday (Tuesday), hoping for approval of a massive loan package they say is central to their survival.

And while the plans include such politically palatable moves as salary cuts for top-tier executives, the sale of cushy corporate jets and the elimination of moribund brands, the three embattled U.S. automakers are also now seeking government aid of as much as $34 billion – which is as much as $9 billion more than the $25 billion figure that’s been on the table from the very beginning of the industry’s bid for bailout money.

Here’s the breakdown:

General Motors, the largest domestic automaker, said late yesterday that it is seeking as much as $18 billion to survive into 2010 – and that it needs $4 billion of that ...

HIDDEN VALUE

Dear Value Seeker,

Yesterday, the “Big Three” automakers came to Washington with a plan: ask for even more money.

GM wants $18 billion, with $4 billion for December’s bills.

Chrysler says it needs $7 billion in the next few months.

Ford is after $9 billion…but only as a precaution. It feels pretty confident it can make it without help.

After all, Ford’s sales fell only 31% year-over-year in November. GM and Chrysler both saw sales for the same period tumble by over 40%.

In exchange for $34 billion in taxpayer money, the automakers promised major restructuring, reduced labor costs (that’s right, it’s promising to fire employees in return for taxpayer backing) and the sale of some product lines.

The CEOs even said they would even work for $1. (Never mind that their salaries only make up about 10% of their overall pay packages.)

But decades of waste and mismanagement aren’t forgotten

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Thursday December 4, 2008 Navivest

General Motors (GM), Ford (F) and Chrysler executives will today, be back in front of Congress, which will be holding hearings on the $34 billion in aid that the automakers are seeking from the government.

The automakers will be presenting their plans on how they plan to use the money, in response to a congressional request that they produce such business plans within ten days of their November 18th appearance before Congress.

In a press conference yesterday, Speaker of the House, Nancy Pelosi came out in full support of a bailout for the automakers, by stating that bankruptcy was not an option. She also said that if the plan from the automakers that was not sufficient, then congress would tell them what congress wants in order to be able to provide aid.

So it does seem help is on the way and as such, we reiterate our

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If you like the car, will you love the company?

When it comes to Ford Motor Co. (F), a Canadian car dealer bet a month’s sales on that premise.

Rose City Ford dealership owner John Chisholm offered 100 shares of Ford stock to anyone who bought a new or used vehicle from the dealership during the month of November, the Windsor Star newspaper reported. Chisholm, the president and general manager of Rose City, said he got the idea from a General Motors Co. (GM) dealership in Texas that offered GM shares for each vehicle sold. So Chisholm opted to try it in Windsor, the Ontario, Canada city where Ford has both a long history and deep community roots.

“What a great way to show our confidence in the company,” Chisholm, who employs 80 at a

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Two days before the chief executives of Detroit’s Big Three – General Motors Corp. (GM), Ford Motor Co. (F), and Chrysler Corp. – march back to Capitol Hill to again petition Congress for a $25 billion bailout, details about each company’s plan to scale back operations are emerging.

Each CEO – GM’s Richard Wagoner, Ford Chief Executive Alan Mulally and Chrysler’s Robert “Bob” Nardelli – left Washington D.C. two weeks ago scolded, and with a clear understanding that the government is expecting each company to shed costs and present forward-looking plans that prove taxpayer money will not be wasted.

Wagoner has been fuzzy on the company’s goal to cut at least $15 billion in costs, but few options have been ruled out.

GM could further reduce its North American workforce. It could eliminate and/or sell one or more of its brands. The primary name on the table is

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Currencies trade in a tight range…  China…  Commodity prices to blame…  “Safe” Treasuries? And Now… Today’s Pfennig! Good day… And a Wonderful Wednesday to you! Well… I went “shopping” yesterday evening… At least I can say I did my bit to keep the economy afloat! HA! Thanks to all who sent along notes to me yesterday with kind words. I truly appreciate the kind words, you are all too kind! The automakers made their pleas to Congress yesterday, and they claim they are in deep dookie! GM says they need $4 Billion right now! And… The original $25 Billion figure has grown to $35 to $40 Billion…

The currencies were lifeless yesterday, with only

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Dollar firms vs euro ahead of expected ECB rate cut… Traders eye U.S. data, central bank rate cuts for impetus… U.S. November car sales tumble 37 pctGold eased on Wednesday as the dollar firmed against the euro, denting the metal’s appeal as a currency hedge, with traders awaiting a raft of key economic news due later this week.

A spate of interest rate decisions, including that of the European Central Bank on Thursday, are set to influence the currency markets, and key U.S. non-farm payrolls numbers will be released on Friday.

Spot gold slipped to $773.05/775.05 an ounce at 1000 GMT from $781.50 an ounce in New York late on Tuesday.

“This is a big week for news, and a lot of people will be on the sidelines ahead of that,” Afshin Nabavi, head of trading at MKS Finance, said. “This is going to be

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[“Hot Stocks” is a new Money Morning feature that analyzes the investment outlook of global companies that are in the news. This is the eighth installment of this ongoing investment series.] Money Morning Staff Reports If you like the car, will you love the company? When it comes to Ford Motor Co. (F), a Canadian car dealer bet a month’s sales on that premise. Rose City Ford dealership owner John Chisholm offered 100 shares of Ford stock to anyone who bought a new or used vehicle from the dealership during the month of November, the Windsor Star newspaper reported. Chisholm, the president and general manager of Rose City, said he got the idea from a General Motors Co. (GM) dealership in Texas that offered GM shares for ...