… in particular is feeling the pain.  The Wall Street Journal reports that the unemployment rate in Michigan is now 15.2% and 17.7% in Detroit.  To save themselves from bankruptcy, automakers slashed thousands of mid-career jobs.  Tom Boileau, for example, spent 35 years with Chrysler.  When he was laid off, his annual salary was around $110,000.  Now he earns $500 a week as a hockey coach.  Other misplaced workers have also taken substantial pay cuts.  They aren’t living with a false …

Tags: Michigan Recession United States

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… its budget may cause Detroit Public Schools to file for bankruptcy.

It’s a good thing that Michigan sent a state-appointed financial manger to get Detroit Public School’s financial situation in order, because once Robert Bobb got there he started referring to their budget as the worst he’d ever seen.  He said, “They said the sky was falling but they didn’t act.”

Bobb has overseen drastic measures since taking over, including closing 29 schools, cutting central office …

… who made a successful bid to take over control of the bankrupt auto parts supplier.  The Troy, Michigan-based company, which split off from General Motors in 1999, supplies mobile electronics and transportation systems, including power train, safety, steering, thermal and security systems.

The group of lenders who has made the takeover bid includes Elliott Management and Silver Point Capital, and own $3.4 billion of Delphi’s debt, according to a report run by the Wall Street Journal.  …

… case of Gosnick, Gregory L.; In re, the bankruptcy court ruled that a debtor could not use Michigan bankruptcy law to exempt real estate property in Alabama.

The bankruptcy court said:

“Michigan courts, for almost one hundred years, have held that its laws do not have extraterritorial application to real prop¬erty located in another state.”

This can be a difficult situation for many debtors. Because of the amount of mobility in our modern society many debtors may own …

… from facing the kind of economic devastation that Nevada and parts of California, Florida and Michigan are facing," said Rep. Chet Edwards, D-Waco, who helped write the bill.

Edwards has a good point. Right now Texas is being hit by massive foreclosures, job losses and bankruptcies which are decimating the tax base. Foreclosures, job losses and bankruptcies create an environment where citizens are unable to contribute to the taxes necessary to run the state’s essential …

… implement 7,000 job losses and General Motors Corp. said it will send 2,000 employees at plants in Michigan and Ohio to the unemployment line due to slow sales. One of the biggest blows to the economy has been Caterpillar Inc., the world’s largest maker of equipment for mining and construction announced 5,000 job losses and that’s in addition to 8,000 contract worker job losses, 4,000 full-time factory workers job losses and 2,500 workers who have accepted buyout offers. Caterpillar also …