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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (323922)	2/1/2007 12:32:17 AM
From: tejek	Read Replies (1) \| Respond to of 1574261

They aren't firing workers in order to produce less and make less income. Their firing workers because with the economies of scale in the combined company some of the workers aren't needed anymore. Continuing to produce the same amount or more with less workers is called greater productivity. Greater productivity is what enables per capita growth (well you could also reduce unemployment, but its already low, or you could have people work more hours, but I don't think people want to give up holidays or have longer work weeks). While they were producing economies of scale, they gave themselves $75 million worth of bonuses. How long do you think it will take to make up in productivity what was lost in bonuses? Bottomline: the deal is good for Lilly, upper mgmt and Lilly's investors but it was bad for the vast majority of the workers and Seattle. I bet you Tim if everything was factor in......the cost to move equipment from Seattle to Indianapolis; the disposal of over $50 million of ICOS facilities and property at a loss since the facilities were just built; the bonuses, the cost to Seattle etc.........that this deal stunk to high heaven, hurting many while rewarding a few. Frankly, I think your capitalism and free markets is much to do about nothing. I think its a great way for a few people to get very rich. That's what I think.