Trump lashes out at GM as company announces plans to cut 14000 jobs

Trump lashes out at GM as company announces plans to cut 14000 jobs

General Motors announces closures of five plants eliminating more than 14,000 jobs

General Motors are putting five plants up for closure and slashing 14,700 jobs in restructure aimed at saving $6 billion as the company shifts its focus to electric and autonomous cars. 

The manufacturer said on Monday that it will close two plants in metro Detroit as well as plants in Ohio and Canada.

GM slashes 14,700 jobs with multiple factories facing closure in the US

Too many of its factories are only set up to make older models while GM wants to reshape to focus on lower emitting hybrid vehicles.

“I have spoken to UAW President Gary Jones and the citys economic development team. They are working together to come up with a solution that works for GM and the employees. We all know there is strong demand for manufacturing space in Detroit and we are willing to work with GM to fill all the available manufacturing space at Poletown with either GM-related entities or other companies.”

GM Chairman and CEO Mary Barra said that the savings were necessary to be able to invest in the future.

What were doing is transforming this company, Barra told Freep. This industry is changing very rapidly when you look at propulsion, autonomous driving and ride sharing. We want to be in front of it while the company is strong and the economy is strong, she said.

The move wont affect GMs core products such as its pickups, SUVs and certain cars including its full-sized 2019 Chevrolet Silverado and GMC Sierra pickups.

About 6,000 factory workers (pictured at the Oshawa plant) could lose jobs in the US and Canada, although some could transfer to truck plants. The plan will help save the company $6 billion by 2020, according to GM

Nathan Bomey, of USA Today, reports that GM has killed production of its Chevy Volt and Impala in North America with these plant closures. On top of this, the automaker is believed to be eyeing the Cadillac XTS, CT6 and Buick LaCrosse for the chopping block as Americans continue their intense love of trucks and SUVs. 

Those are good architectures from a fuel economy perspective … well continue to put those in the market, but we can take down our capital expenditures, while investing in electric and autonomous vehicles, said Barra. You will see a greater share invested in autonomous and electric vehicles, both from a capital expenditure and increased hiring for electric and self-driving engineering jobs.

In a press statement, the company said it will close the Detroit-Hamtramck Assembly Plant in Detroit and Warren Transmission Operations in Warren.

Other plants closing include the Oshawa Assembly Plant in Oshawa, Ontario, the Lordstown Assembly in Warren, Ohio, and the Baltimore Operations in White Marsh, Maryland.

“This is a warning and we all must be concerned about protecting jobs and keeping them in this country. I care deeply about working families hearing this news right now,” U.S. Rep. Debbie Dingell, D-Dearborn, said in her own emailed statement. 

The company also plans to stop building several models now assembled at those plants, including the Chevrolet Cruze, the Cadillac CT6 and the Buick LaCrosse.

A.P. reports that the reductions in salaried employees represents a 15 percent reduction to GMs North American workforce. The automaker says that some of the U.S. employees will have the option to transfer to plants that will see an increase in volume. 

The actions we are taking today continue our transformation to be highly agile, resilient and profitable, while giving us the flexibility to invest in the future, said GM Chairman and CEO Mary Barra.

We recognize the need to stay in front of changing market conditions and customer preferences to position our company for long-term success.

Mary Barra, the automakers CEO and chairman, said that these measures will continue GMs transformation into a “highly agile, resilient and profitable” company with some needed investment flexibility. 

GM will lay off 14,700 factory and white-collar workers in North America and put five plants up for possible closure as it restructures to cut costs and focus more on autonomous and electric vehicles. One of those closures would be the Oshawa plant in Canada (pictured) 

General Motors kept the time of speculation short as it announced those rumored company-wide changes that it will close three assembly plants in Michigan, Ohio and Ontario, Canada by the end of 2019. 

General Motors is planning to shut seven factories and shed 15% of its workforce as part of a major restructure that will also involve shifting investment into developing autonomous and electric vehicles.

“The actions we are taking today continue our transformation to be highly agile, resilient and profitable, while giving us the flexibility to invest in the future,” Barra said in a release. “We recognize the need to stay in front of changing market conditions and customer preferences to position our company for long-term success.”

The US firm has struggled with falling sales in recent years prompting a major revamp, which has included selling Vauxhall and Opel, its British and European brands, to the PSA Group. GM had previously axed Chevrolets UK arm in 2014.

In North America, GMs sales have been hit hard by falling demand for saloon cars, and the firm is set to follow rival Fords lead in culling most of its saloon models to put greater emphasis on SUVs and pick-up trucks. According to reports, the Chevrolet Cruze and Impala, Cadillac CT6, Buick LaCrosse and Chevrolet Volt hybrid will all be axed.

Barra also was meeting with White House Economic Adviser Larry Kudlow on Monday, a White House official confirms. The meeting has apparently been on the books for weeks and it's just a coincidence that the meeting and the announcement happened on the same day.

GM has now announced it is planning to close five North American plants by the end of 2019: assembly facilities in Detroit, Ohio and Ontario, Canada; and transmission factories in Michigan and Maryland. It will shut two unnamed plants outside North America, in addition to the previously announced closure of a plant in Korea.

According to a spokesperson for GM, the plants will be unallocated which means they will no longer produce vehicles in those plants in 2019. According to the company, the future of the plants will be part of contract talks with the UAW next year.

As part of a staffing transformation, the firm is also aiming to reduce its workforce by around 15% – about 18,000 jobs – which it says will include cutting 25% of its executive staff. GM expects the move to reduce costs by around £3.5 billion.

President Donald Trump said he is not happy with General Motors decision to close several plants in Michigan and Ohio. The president said he spoke with CEO Mary Barra, telling her he wasnt happy with the decision the company made.

Having developed new vehicle platforms, GM says that future investment will be focused on developing its next-generation battery-electric vehicles.

Meet the Brit who designs GM pick-ups Find an Autocar car review Choose a makeAbarthAllardAlfa RomeoAlpinaAlpineArielAscariAston MartinAudiBACBentleyBMWBorgwardBowlerBugattiBYDBytonCadillacCaparoCaterhamChangan AutoChevroletChryslerCitroenCupraDaciaDallaraDavid BrownDodgeDSEagleElementalEternitiFerrariFiatFiskerFordGreat WallGeelyGinettaGumpertHennesseyHondaHongqiHyundaiInfinitiIsuzuItalDesignJaguarJeepJIAKen OkuyamaKiaKoenigseggKTMLadaLamborghiniLanciaLand RoverLexusLincolnLotusLynk & CoMahindraMarcosMaseratiMaybachMazdaMcLarenMercedes-AMGMercedes-BenzMercedes-MaybachMG MotorMiniMiaMitsubishiMorganMS-RTMurrayNextEVNissanNobleOldsmobileOpelPaganiPeroduaPeugeotPininfarinaPorscheProtonQorosRadicalRamRenaultRimacRiversimpleRoeweRolls-RoyceRoverSaabSeatSenovaShelbySinSkodaSmartSpykerSRTSsangyongSSCSubaruSuzukiTataTeslaTigerToniqToyotaTriumphTushekTVRVauxhallVencerVeritasVolkswagenVolvoVuhlWestfieldWeyZenosZenvoZolfeZoyte Then a model Driven this week 25 November 2018 First Drive Mercedes-Benz A-Class 2018 long-term review The wide array of specced options to try makes the latest-generation A-Class… 23 November 2018 First Drive Seat Tarraco 1.5 TSI Evo SE Technology 2018 review Seat's third and largest SUV brings just a hint of youthful exuberance… 23 November 2018 First Drive Ford Fiesta ST-Line long-term review Does this version of Britains top-selling car have the substance to match… Insight: why the PSA Group bought Vauxhall and Opel

"The United States saved General Motors and for her to take that company out of Ohio is not good," he continued. "I think she's going to put something back in soon."

Tempting as it is to blame Brexit, this is actually a symptom of USexit. The writing was on the wall when USA seceded in 1783. Sure, its taken a while to feel the full consequences, but the trickle down effect, by definition, acts slowly.

On Monday, GM announced it would close several plants, including two in metro Detroit; the Detroit-Hamtramck Assembly Plant and the Warren Transmission Operations plant.

Cars are lasting longer, population growth stalling, a few new big manufactures have come on song in last decade or so, Chinese cars are improving etc. Wonder if a big name will go to the wall in the next 5 years?   

According to the release, GM will lay off 14,700 factory and white-collar workers. Of those, 8,100 will be white-collar workers that will either take buyouts or be laid off.

So between Ford and Chevrolet the only big American saloon you could buy/rent in the states will be the Malibu?

"Hopefully she’s going to come back and put something, but I told her I’m not happy about it," he added.

But do/will they actually drive any good? or be built to a decent level of quality, even when the bonnet is having a “premium” badge stuck to it? Spin off the corvette into a seperate company, sell it to someone wholl develop it properly, and then close everything else down. Have GM ever made a decent car or looked like they knew what they were doing? The numbers being discussed in this article are simply insane! Yet somehow, whenever psa say ellesmere port needs sorting out everyone jumps on them as if theyre evil and closing it was the plan from the start, and some inevtable brexit assumptions and nonsense – no it wasnt, gm is a mess ran by complete boneheads and theyre inherrited some of this stupidity.

GM have been talking about downsizing for some time, now. They feel that demand for cars is going to drop through the floor in the next few years and are future proofing. As for Russ13Bs comments; theyve made loads of good cars including all of Cadillac, Camaro and Corvette. I think they know what theyre doing with Corvette without having to hive it off to anyone else judging by the rave reviews it receives.

GM have been talking about downsizing for some time, now. They feel that demand for cars is going to drop through the floor in the next few years and are future proofing. As for Russ13Bs comments; theyve made loads of good cars including all of Cadillac, Camaro and Corvette. I think they know what theyre doing with Corvette without having to hive it off to anyone else judging by the rave reviews it receives.

Cadillac have included some failures and have had two decades off the pace generally – Camaro sales are way down compared to Mustang and Challenger – Corvette is the only jewel left in GMs former crown.

When Trump came in he promised more jobs for Detroit… lets go back to what it was like in the old days. And oh how they applauded when Ford and GM started pulling back on their foreign investment and imposing tariffs on imports.

Wonder if theyre still applauding Mr Trump because homeland factory closures and lay-offs wasnt supposed to be part of his masterplan. When elected he tweeted:

“big news” (for U.S. autoworkers).  “After many decades of losing your jobs to other countries, you have waited long enough!”

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