Well, the real problem with the Big 3 and the unions which have hogtied them is that not only do they pay well while they are actually working (which I don’t mind) but they also give workers overly generous pension plans as well. That’s why the Big 3 are so close to bankruptcy. They are paying for more retirement benefits than employee benefits. That’s what has to stop.
The pensions are actually not a problem right now since they are overfunded. In the past, GM contributed to the pension fund far more money than was necassary, so today the fund more than enough money to pay the current retirees without reducing GM's cash flow.
It's the retiree healthcare costs that are killing them. Also hurting them very badly are idiotic work rules that reduce productivity, as well as job security provisions such as the so-called "jobs bank." Currently GM is paying around 8,000 workers who don't work.