Matt Skiba
Wilmington, North Carolina

Enron collapse
There are a number of important lessons that the collapse of Enron illustrates and should be taken to heart by workers. Although the capitalist press and numerous Democratic and Republican politicians, including President George Bush, have expressed shock and dismay over the losses suffered by the Enron workers, they have done nothing except wring their hands and cry crocodile tears. There is a reason for their lack of action. This is the way capitalism works.

The defrauding of Enron workers out of their 401(k) pensions is another lesson. Enron did not pay a single penny for the stock it "gave" to its workers. The use of corporate stock is the cheapest way a company can "fund" its pension plans. It costs them nothing. What should now be clear is that "stock" is not capital. It is fictitious capital. It is only "worth" what the market value is at the time it is sold. For the executives, who knew the truth about Enron's financial condition and who were allowed to sell when the price was high, it was a bonanza. For workers who were not privy to those corporate secrets and could not sell their stock until it was worthless it is a disaster.

Robin Maisel
Los Angeles, California

The letters column is an open forum for all viewpoints on subjects of interest to working people.

Please keep your letters brief. Where necessary they will be abridged. Please indicate if you prefer that your initials be used rather than your full name.  
 
 
Front page (for this issue) | Home | Text-version home