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Battle heats up between UAW, Republican leaders

Rescue in limbo as fingers point

The conflict between the UAW and Republican congressional leaders continued escalating Sunday, with each side pointing fingers at the other about who was to blame for the failure of a rescue plan for the Detroit Three.

While the White House continued working toward a rescue plan, Sen. Bob Corker, R-Tenn., told "Fox News Sunday" that "the bill would have passed with 90 votes" had the UAW "just agreed to be competitive by the year 2009."

Corker said he talked to the White House about a deal he reached with the UAW. That plan would have required a two-thirds cut in the debt of each automaker, forced the UAW to take stock for payments to its health-care trust for retirees, and required the UAW to accept pay equal to what foreign automakers offer their U.S. factory workers sometime next year.

The UAW rejected Corker's proposals for pay cuts, and Senate Republicans blocked the compromise plan worked out between the White House and congressional Democrats.

Corker also accused UAW President Ron Gettelfinger of rejecting the proposals by Senate Republicans because "he knew the White House would bail them out."

However, Gettelfinger dismissed that notion on CNN's "Late Edition with Wolf Blitzer," accusing Corker of "stretching the truth."

"We should never have entered into discussions with Senator Corker, but we did because of the importance of what was going on here," Gettelfinger said. "And it failed. And it's not because we didn't have a tentative agreement. It's because" Corker "could not deliver at the end of the day."

Later, Gettelfinger added, "I did not say that to him ... Why would we run the risk of ... knocking this down in the Senate if the urgency is what it is?"

Corker said the White House should put terms similar to his proposal on whatever lifeline it throws. Under the $700 billion financial industry bailout, the Treasury has broad power to put conditions on companies.

"I think the president has to decide — is he still running the White House or is the UAW?" Corker said.

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