February 18, 2019

General Motors starting white-collar layoffs this week

04 February 2019, 11:23 | Hattie Nash

Black Monday GM to Layoff 4K American White Collar Workers William D. Lewis The Vindicator via AP1 Feb 2019

Venus Walker of Warren Ohio and a GM employee with 12 years at the Lordstown plant prays during a vigil outside the Lordstown GM plant on Nov. 29 2018

General Motors says it has largely completed salaried job cuts in Canada as part of a wider restructuring announced last November. The job reductions, part of GM's previously announced plan to reduce its headcount by 15 percent, are coming after more than 2,000 employees accepted voluntary buyouts. "At same time, unions need bigger seat at table and we need a plan to address painful job loss".

As first reported this weekend by The Detroit News, sources within the company state the job cuts - reportedly expected to climb to 6,000 by the spring - are part of efforts to save the company $2.5 Billion this year.

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General Motors is also undertaking a 25% reduction in its executive workforce worldwide.

"We've indicated that the involuntary reductions would happen in the first quarter", GM spokesman Pat Morrissey told the newspaper.

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GM also plans to close one Canadian and four US auto factories, shedding another 5,000 jobs. GM said in November it would end USA and Canadian production of the Chevrolet Cruze, Volt, Impala, the Buick LaCrosse and the Cadillac XTS and CT6 sedans. Another 1,500 contracted employees are said to have not been offered an extension or renewal on their contracts.

Trump, who made a 2017 speech near GM's Lordstown Assembly plant in OH, said in November the company had "better" find a new product for that plant. Now, 4,000 more will be laid off.

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Last month, Comprehensive Logistics said it would cease operations at its facility in Lordstown that provides logistics and warehousing, impacting about 180 jobs. Along with letting workers go, GM is also closing four manufacturing plants in the United States and another in Canada.

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