Reduction of staff and factories of the American auto giant General Motors
Reductions in America’s largest car company GM will affect more than 10 thousand employees working in the northern region of the country. Not only 15% of ordinary workers, but also 25% of the management team will fall under the reduction in order to rationalize the decision-making process. It is also planned to stop production of a number of models that have not become popular among motorists. The company did not specify what kind of model. But according to Reuters, they could be Chevrolet Volt, Chevrolet Impala, Chevrolet Cruze, Cadillac CT6 XTS, Buic LaCross, since they were the worst sold in the States.
Next in turn is the closure of 4 plants in the United States and one in Canada by the end of 2019. Such a decision will be made if management and trade unions do not find a way to increase the workload of these enterprises. We are talking about sedan factories in Detroit, in Ohio, where they produce small cars, and in Oshawa, Canada, near Toronto. Two powertrain plants in the suburbs of Detroit and Baltimore could also be hit by cuts. The existence of two more plants outside of North America is questionable.
The company believes that with the help of these measures by 2021 it will be possible to increase cash flow to $ 6 billion. Moreover, General Motors shows great interest in unmanned vehicles and electric vehicles, therefore, wants to increase its investment in this industry.