GM to lay off up to 14K workers, close as many as 5 plants

by:CTECHi     2019-11-24
DETROIT (AP)—
General Motors will cut as many as 14,000 workers in North America and build 5 factories if possible, as it has abandoned many car models, and will be more focused on what the automaker announced on Monday.
Among GM\'s 8% employees worldwide, the number of layoffs may be as high as 180,000.
As manufacturers continue to shift from cars to SUVs and trucks, the restructuring reflects changes in the North American car market.
In October, nearly 65% new cars were sold in the United States. S.
Trucks or SUVs.
Five years ago, the figure was about 50% cars.
In a note to investors, Citi analyst Itay Michaeli wrote that GM cut prices mainly because it didn\'t make money on cars.
\"We estimate that there is a huge loss in the operation of the car, so a classic restructuring is needed,\" he wrote . \".
A few hours after US President Donald Trump announced the news, he said his government and lawmakers were putting \"a lot of pressure\" on GM \".
He said he told the company that the United StatesS.
A lot has been done for GM, and if its cars don\'t sell, the company needs to produce the cars that will be sold.
Trump will resume car work as an important part of his appeal to Ohio and other Great Lakes, states that are critical to his reconstruction
He also said he was tough with gm ceo Mary Barra.
Last summer, at a rally near GM\'s factory in lozstown, Ohio, Trump told people not to sell houses because jobs were \"all back \".
\"The layoffs were carried out in the context of a trade war between the United States and the United States. S.
China and Europe could lead to higher prices for imported vehicles and vehicles exported from the United StatesS.
Barra said the company faced a tariff challenge, but she did not directly link the layoffs to the tariff.
The planned cuts include about 8,000.
GM\'s 15% white collar workers in North America --
White-collar.
Some will accept the acquisition while others will be fired.
About 3,300 in the factory
White-collar workers in the United States may lose their jobs. S.
There are 2,600 people in Canada, but some AmericansS.
Workers can move to factories that produce increased trucks or SUVs.
The layoffs marked GM\'s first major layoff in the Great Depression for thousands of people.
The company also said it would stop operating two other plants outside North America by the end of next year, in addition to announcing the closure of South Korea\'s Gunsan plant.
General Motors’s pre-
Ford Motor Co. is likely to take a pre-emptive strike before the next recession to become more streamlined.
The company said it was restructuring and would fire an unknown number of white people --collar workers.
Toyota Motor Company
Although it is building a new assembly plant in Alabama, cost cuts are also discussed.
GM is not the first company to give up most of the car market.
Two years ago, the cars of Fiat Chrysler were removed from small and medium-sized cars, while Ford announced that all cars except the Mustang would be in the United States. S.
In the next few years.
Barra told reporters that GM did not foresee a recession and that it was \"cutting back in front of the company when it was strong and the economy was strong \".
\"The factories that may be closed include assembly plants in Detroit, Oshawa, Ontario, and loztown, Ohio, as well as transmission plants near Warren, Michigan and Baltimore.
The announcement worried GM workers who might be out of work.
Matt Smith, a worker at the Ontario factory, said Monday outside the factory\'s South Gate: \"I don\'t know how I\'m going to feed my family,\" where the staff stopped the truck from coming in and out. “It’s hard. It’s horrible.
Smith\'s wife also works in the factory.
The couple have 11-month-old at home.
Workers at the Ontario plant left on Monday but are expected to return on Tuesday.
After the announcement in the morning, Barra will travel to Washington for talks with White House economic adviser Larry Kudlow, known as the previously scheduled meeting, according to a White House official who declined to be named, the official had no right to discuss the meeting publicly.
Cars produced by most factories affected by GM restructuring will not be sold in the United StatesS.
After next year
They can shut down or build different vehicles.
Their future will be part of next year\'s contract negotiations with the Union of United Auto Workers. The Detroit-
The EU-based Union has condemned GM\'s actions and threatened to fight them \"through every legal, contractual and collective bargaining avenue open to our members.
\"Bobbi Marsh has been assembling the Chevrolet Cruze compact car at the Ohio factory since 2008, and she said that given the strong economy, she doesn\'t understand why the factory might be closed.
\"I can\'t believe our president will allow this to happen,\" she said on Monday . \".
She is now facing an uncertain future, not knowing if the factory will be closed forever or if it has a chance to find another use.
\"Everything is in the air,\" she said . \".
\"I don\'t want to give up hope for this facility and these people.
I spend more time with them than my own family.
It\'s like a broken family.
Democratic senator.
Schroeder Brown said the move would be disastrous for areas near Youngstown, Ohio, east of Cleveland, where GM is one of the few industrial pillars.
\"Because of the Republican tax bill last year, GM received record tax breaks and canceled jobs, instead of investing in American workers with this tax windfall, he said in a statement.
Many people who will be out of work are now using traditional cars with internal combustion engines.
Barra said the industry is changing rapidly in the direction of electric propulsion, self-driving cars and cars.
General Motors must be adjusted.
GM is still recruiting employees with expertise in software, electric and self-driving cars, she said.
GM will stop producing cars and transmissions in the factory by 2019.
A total of six models were scrapped, and the remaining nine models were left to the company.
The automaker said it would end production of the Chevrolet Volt, as it was supposed to be a bridge to all-electric vehicles when it launched the car about a decade ago.
Volt has a small battery that takes about 50 miles and switches to a small gasoline engine.
Since its launch, the battery technology has made great progress. Now the full-
Electric Chevrolet Bolt can drive 238 miles on a single charge. GM builds full-
In the size of the Chevrolet and GMC pickup trucks in Mexico, it recently announced that it will build a new Chevrolet suit SUV there.
In addition, GM imported Buick Envision mid-size SUV from China.
Associated Press writer Rob Gillis, John Sewell of Toledo, Ohio, and Zeke Miller of Washington contributed to the report.
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