Wednesday, 20 February, 2019


GM moving ahead with salaried job cuts, including 'modest' number in Canada

The General Motors headquarters building Modal Trigger The General Motors headquarters building Getty Images
Conrad Doyle | 05 February, 2019, 22:19

"These actions are necessary to secure the future of the company, including preserving thousands of jobs in the US and globally", GM said in a statement Monday.

"This is the implementation of the salaried actions announced late previous year", GM said in an emailed statement.

General Motors will begin the process of terminating over 4,000 salaried workers on Monday, February 4, according to a recent report.

Morrissey said GM would provide salaried workers with severance packages and job placement services.

Workers told the Detroit Free Press last week they have been anxious about the job cuts since GM announced them late previous year.

That said, the largest of the Detroit-based carmakers will, with the latest cuts, have eliminated more than 14,000 jobs in the USA and Canada since November.

The company also announced Monday that more than 1,500 USA hourly or blue-collar employees have volunteered to transfer to other locations. Originally reported by The Detroit News, the report comes nine weeks after GM made a decision to halt production at five North American plants and began negotiations with the United Automobile Workers union.

The GM plant in Lordstown, Ohio, is one of the four USA sites affected, CNN reported. "Our employees are our priority, and we will communicate with them first". Production is scheduled to end at the plants throughout the year.

The restructuring also includes the planned shutdown of the company's Oshawa Assembly Plant at a loss of about 2,600 unionized jobs and four other plants in the U.S.

If all goes right with General Motors, the company could save $6 billion by 2020.

While Wall Street has praised the actions as proactive ahead of a potential industry downturn, the company has faced mounting pressure from the UAW, politicians and the Canadian union Unifor, which launched a media campaign against the company.

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