(Bloomberg) – General Motors said it will set off more than 14,000 employees b & # 39; pay and industrial workers, and close seven & # 39; factories by the end of next year. This measure is part of a radical restructuring, since it is preparing for a future in which greater number of & # 39; electric vehicles.
Four & # 39; factories in the US, one in Canada and two outside North America & # 39; On may close their doors by the end of 2019 if the automaker and its unions fail to reach an agreement to allocate more work for those facilities, said GM in & # 39; statement. . Along with & # 39; closing, the company will throw some of its sedans of & # 39; lower rotation.
The cuts come just after the third surprisingly strong earnings. The executive director & # 39; GM, Mary Furthermore, trying to make the company more austere, the car sales in the United States they fail compared with the year & # 39; registration 2016 and sales in China – the other pole of the profit & # 39; GM – are also negative. On the other hand, addition is relocating resources to manufacture & # 39; electric cars and, in the future, vehicles to drive themselves.
"We are taking these measures while the economy remains & # 39; solid," said in addition to & # 39; Codice. "This industry changing rapidly. We must ensure that we are in & # 39; good position. We believe that it is appropriate to do so while the company and the economy are b & # 39; health."
The GM shares rose 7.9% to US $ 38.75, the highest percentage since July, at 11: 16 a.m. on the Stock Exchange & # 39; New York. The shares still remain 7% this year.
The plan to banish 15% of salaried workers follow round & # 39; grants offered to GM about a quarter of its aging workforce at the end of October. GM said the cuts will increase automotive cash flow b & # 39; loan & # 39; US $ 6 billion by the end of 2020 and will lead to single payments of up to USD 3,800 million in the fourth & # 39; quarter & # 39; this year and the first quarter of 2019.
GM also reported that next year the company will stop manufacturing the Sedan Buick LaCrosse, Chevrolet Impala and Cadillac CT6. Hybrids & # 39; Chevy Volt plug-in will also be set up alongside the Chevy Cruze Compact Sedan, which will be manufactured in Mexico to other markets.
The possible closure has already generated a political refusal, as the Prime Minister of Canada, Justin Trudeau, said he has already expressed his deep disappointment for addition. The plants are in the United States & # 39; places that have been economically devastated by the loss of & # 39; jobs and pressure on wages for decades & # 39; years, which enabled Donald Trump to take the US presidency. in 2016.
The US Senator Rob Portman, a Republican & # 39; Ohio, said he is "very frustrated" by GM's decision to close a plant in & # 39; Wordstown and pushing each addition to presenting an alternative product factory .
Outside is reducing staff in areas that manufacture conventional cars are hiring people who can design electric cars or add skills & # 39; software Cruise GM LLC, the unit of the autonomous vehicle of the automaker in & # 39; St. Francisco. That means GM needs to allocate more resources for electric cars, b & # 39; difference hybrid Volt, autonomous technology, said addition.
GM will dismiss more than 6,300 employees working per hour in their plants, and 15% of salaried workers in North America & # 39; America, totaling more than 14,000 employees.
The company appointed a sedan car plant in & # 39; Detroit, compact car plant in & # 39; Istanbul and other plant & # 39; assembly in the outskirts of & # 39; Toronto for possible closure. Two & # 39; transmission plants are also in & # 39; risk, one outside and another in Detroit & # 39; Baltimore.
While GM has offered compensation and urged workers in its core automotive operations, in the last year added about 1,000 people to Cruise.
Original Note: GM Plans More than 14,000 Decrease in Jobs, Seven & # 39; Closing & # 39; Factory (1)
– With the collaboration of & # 39; Keith Naughton.
Reporter in the original story: David Welch in Michigan, [email protected]
Editors responsible for the original story: Craig Trudell, [email protected], Kevin Miller
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