GM has announced plans to close its Saab unit, yet another failed GM line.  Initially GM closed its Pontiac unit, next it took aim at its Saturn line, it sold off Opel and is attempting to finalize the Hummer deal.  Now that Saab is on the chopping block, GM has theoretically been responsible for laying off well over 50,000 workers.

It is interesting to note, when a business hires workers they get tax breaks because of all the people they are supposedly helping, completely ignoring the fact they are benefiting from these people far more than the people benefit from them.  In this case, however, does GM have to pay tax penalties for laying off so many?  It would be logical, but since big business makes the rules it will never happen.

The Swedish government is less than pleased with GM.  They cite that much more could have been done to salvage Saab, preserving the jobs of so many Swedes. 

"GM could've done much more to help Saab," Olofsson told reporters at a press conference in Trollhattan, where Saab is based.

Olofsson said GM had been solely responsible for the decision and the government would now concentrate on how to help Saab employees and the local community, adding that officials will meet representatives from local government, unions and GM on Monday.

Saab Chief Executive Jan-Ake Jonsson expressed his disappointment that a deal with Dutch car maker Spyker NV (SPKR.AE) couldn't be completed by the end of the year.

"We're surprised and a bit disappointed at the decision," Jonsson said, adding that it was too early to say what will happen next.

Source: online.wsj.com

The Financial Crisis has taken many victims, but considering how much Barack Obama gave to GM during the bailout makes me just shiver.  When a company can't get their act together after such an injection of cash we need to simply cut them up, sell them off, and return the money back into American coffers. 

What is even more staggeringly mind boggling are the bonuses now being paid in GM.  There is no question that these bonuses are being paid, and that they are contractual, but it still doesn't feel right when we all know that these bonuses were made possible with our tax dollars. 

It is unfortunate to see Saab go, but it is likely for the better with respect to GM's profit margins.  There are far too many automobile manufacturers on the market and I am all for trimming them.  In the future, I only hope we stop bailing out the richest companies and concentrate on those being laid off by them.