Letter: Oh, where is he now?

Editor, Daily News:

Back in the 1980s, Lee Iacocca became what many experts considered to be the most admired businessman in American. In 1979 he agreed to take control of a virtually bankrupt company and lead it back to prosperity. He had recently been fired by Henry Ford and considered rescuing the Chrysler Corp. as not only retribution, but an opportunity and a challenge.

How did he do it? First, he gathered together a large assembly of Chrysler workers and told them that he didn't have any $20-an-hour jobs. What he did have were $17-an-hour jobs, and if they would stick with him, they would keep their jobs with the promise of increases later.

Everyone in the company took a pay cut except the secretaries, whom he considered indispensable and needed to be retained above all others. He agreed to an annual salary of $1 with future stock options when the company became solvent again.

Then, he persuaded the government to provide a substantial 10-year loan to get started, which he amazingly paid off in three years. What a success story.

Today, General Motors and Ford are facing a similar fate. Will their workers accept pay decreases to save their jobs? Has this offer even been made to them? And will the corporate heads of GM and Ford agree to dispense with their large, obscene salaries and bonuses to save their companies?

Only the future will tell.

Hershel Niquette , Golden Gate