• Vhozite@alien.topB
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    11 months ago

    Interesting that UAW strikes were gonna drive prices to the moon, but barely 2 months later GM is announcing a stock buyback AND increasing their dividend.

    • shwaynebrady@alien.topB
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      11 months ago

      Completely different. And I know it’s a crazy concept, but the entire purpose of a publicly held company is to make money for their shareholders.

    • guy-anderson@alien.topB
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      11 months ago

      GM is announcing a stock buyback

      They are not announcing a stock buyback. They are announcing changes to their existing buyback plan. Including the increased dividend, their new guidance is estimating $1 billion dollars less going to shareholders. So it’s actually a pretty big cut.

      • dalittle@alien.topB
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        11 months ago

        so a company complaining to high heaven about their workers wanting too much when they just want to feed their families why are they doing a stock buyback or dividend at all. They should be using that money to pay their workers a livable wage and right the ship and that is actually in the best interest of the stockholders.

        • guy-anderson@alien.topB
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          11 months ago

          They probably have a lot of loans underwritten by stock, so they need their stock price to stay at certain numbers or else their credit rating gets worse and they have to pay more to service their debt.

          Unless you are a car company that takes pre-orders, people only pay for cars after they are made. So you either need to hoard cash or take on debt in order to maintain consistent cash flow.

          Issuing and buying back shares is a pretty common way to handle cash flow and is really a separate issue to living wages and employee compensation.

        • SlowRollingBoil@alien.topB
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          11 months ago

          You’re thinking like a regular person. Think like a capitalist that makes their money off exploitation and you’ll get there.

      • yobo9193@alien.topB
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        11 months ago

        Where in the article does it say they are revising their buyback plan? Because this article (and others) clearly state that the buyback announcement is new

        • guy-anderson@alien.topB
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          11 months ago

          GM’s new guidance reduced expected net income attributable to stockholders for 2023 to a range of $9.1 billion to $9.7 billion, compared to the previous outlook of $9.3 billion to $10.7 billion.

          So their previous guidance (how much they predicted for a year) was replaced with new guidance.

          The article actually never says the $10 billion is new. It just heavily implies it.

    • koopa00@alien.topB
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      11 months ago

      If you check out the link in this article to the UAW agreement, you’ll see this:

      Ford (F.N) has estimated the new contract will add $850 to $900 in labor costs per vehicle.

      I’m guessing GM is pretty similar to this, so yeah, not exactly crippling to them. It will be interesting to see their annual report after all this.

    • pmmemilftiddiez@alien.topB
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      11 months ago

      Guys I’m starting to think that maybe these companies are lying to us and are using us against each other.