General Motors To Cut Over 14,000 Workers, Shut Down Plants

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In this April 25, 2017, photo, a GMC truck sits in a General Motors dealer's lot in Nashville, Tenn. (AP Photo/Mark Humphrey)
In this April 25, 2017, photo, a GMC truck sits in a General Motors dealer's lot in Nashville, Tenn. (AP Photo/Mark Humphrey)

With Jane Clayson

General Motors announced Monday plans to cut around 15 percent of its salaried workers, end production at five plants and stop making several car models.


Michelle Nicks, reporter at NBC 21 News, WFMJ. (@MichelleNwfmj)

Sam Abuelsamid, senior analyst at Navigant Research in Detroit and a former automotive product development engineer. (@samabuelsamid)

From The Reading List

USA Today: "GM poised to close plants in Michigan, Ohio, Maryland, will cut 15% of salaried workers" — "General Motors is poised to end production at five plants in the U.S. and Canada, kill off several passenger cars – including the Chevrolet Impala – and slash 15 percent of its salaried workforce in a sweeping cost-cutting plan designed to boost profits and adjust to America's changing tastes in vehicles.

"The Detroit-based automaker said it would end production by the end of 2019 at its Lordstown Assembly plant in northeast Ohio, its Detroit-Hamtramck Assembly plant in southeast Michigan, its Oshawa Assembly plant in Ontario, its Baltimore Operations parts plant in Maryland and its Warren Transmission Operations plant in southeast Michigan.

"The moves reflect the stark consumer shift to SUVs, crossovers and pickups. All of the GM plants on the chopping block make passenger cars.

"The company will also discontinue the Chevrolet Cruze and Volt in North America as well as the Buick LaCrosse, Cadillac XTS and Cadillac CT6.

"While sales of those models were suffering, they continued to support thousands of jobs. GM has about 1,500 employees at the Detroit plant, 1,600 at the Lordstown factory and 2,500 in Oshawa."

Time: "GM Is Laying Off 14,000 Workers As it Looks to Cut Costs Amid Restructuring" — "General Motors will cut up to 14,000 workers in North America and put five plants up for possible closure as it abandons many of its car models and restructures to focus more on autonomous and electric vehicles, the automaker announced Monday.

"The reductions could amount to as much as 8 percent of GM’s global workforce of 180,000 employees.

"The restructuring reflects changing North American auto markets as manufacturers continue to shift away from cars toward SUVs and trucks. In October, almost 65% of new vehicles sold in the U.S. were trucks or SUVs. That figure was about 50% cars just five years ago."

This program aired on November 27, 2018.


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