UAW wants limits on carmakers' executive pay

WASHINGTON (Reuters) - The Big Three U.S. automakers should tell Congress they will limit corporate pay, bonuses and severance packages in return for government loans, the president of the United Auto Workers union said on Sunday.

On CNN's "Late Edition," UAW President Ron Gettelfinger said carmakers only need a loan to tide them over a tough period and insisted high union wages were not the key cause of waning sales at General Motors Corp, Ford Motor Co and Chrysler LLC.

"They need to establish that executive compensation is something that they're willing to curtail, as well as bonuses and 'golden parachutes' on exiting the business," Gettelfinger said. "They can also give the government an equity stake in the business."

The automakers received a rough ride from lawmakers earlier in November after flying to Washington in corporate jets asking for help. House and Senate Democratic leaders, in a letter to GM, Ford and Chrysler executives, said the companies must submit a "credible restructuring plan" by December 2.

Gettelfinger warned millions of jobs were at risk and said the auto industry globally was suffering from a sales downturn, not simply U.S. carmakers.

"It's not just here in the United States and this is not a bailout, this is a loan, a bridge loan that will get us through until we can take a longer term look at what needs to be done in the industry," he insisted.

"We're prepared to go back to the table, the bargaining table," Gettelfinger said of the UAW but said all affected parties including dealers and parts suppliers should also be willing to do so. He said allegations that UAW members made $70-an-hour wages were a "myth."

Congress is expected to reconvene the week of December 8 and to consider proposals for helping automakers. House Speaker Nancy Pelosi and Senate Democratic Leader Harry Reid have indicated they are sympathetic provided the carmakers offer credible plans for running their companies in future.

Gettelfinger declined to comment on the wave of criticism that carmakers' top executives received for flying to Washington in corporate jets, calling it "a distraction."

(Reporting by Glenn Somerville; editing by David Wiessler)