GM Suggests Hourly Job Cuts Won’t Be As Bad As Expected (In The US At Least)

Politicians on both sides of the border has been hammering General Motors and its CEO, Mary Barra, over its plans to idle four plants in the United States and one in Canada.

The criticism hasn’t shown any signs of subsiding and GM is trying to allay fears about massive job losses. In a new release, the company revealed it has “plan for the majority of employees” that work at its four unallocated plants in the United States.

According to the automaker, the decision to idle the four plants impacts 2,800 hourly workers at these facilities. The company went on to say there are approximately 2,700 jobs available at other GM plants in the United States and workers can chose to transfer to facilities such as:

* Bedford Casting Operations in Bedford, Indiana
* Bowling Green Assembly in Bowling Green, Kentucky
* Flint Assembly in Flint, Michigan
* Lansing Grand River Assembly in Lansing, Michigan
* Toledo Transmission Operations in Toledo, Ohio
* Spring Hill Manufacturing in Spring Hill, Tennessee
* Arlington Assembly in Arlington, Texas

While the Michigan and Ohio plants are located relatively close to three of the idled facilities, workers at Baltimore Operations in Maryland don’t have any nearby options. However, the automaker did note there are additional “skilled trades jobs available across multiple locations.”

GM says 1,100 employees have already agreed to transfer to another facility and this means roughly 40% of impacted workers have already secured another job with the automaker. GM also noted that 1,200 of the impacted employees are eligible to retire, so a number of them might decide to take that route instead.

If everything were to work out perfectly – which it won’t – 1,200 employees would retire and the remaining 1,600 employees would transfer to other GM plants. If this ideal scenario were to play out, GM would actually end up creating 1,100 jobs despite the plant closures.

Of course, that won’t happen and some people will lose their job. For those that do, GM will provide training opportunities and access to tuition assistance.

The situation is Canada is slightly different as the idling of the Oshawa Assembly Plant will impact 2,600 hourly employees. Since the decision was announced last month, GM has only found 100 jobs that will be open at other facilities in Ontario.  There are also 300 auto technician jobs at GM Canada dealerships in the province.

That means of a lot of people won’t be GM employees in the future, but the company says there should be around 2,000 new jobs created in the “Durham Region area in 2019 and 2020.” A large number of jobs are expected to come from the energy industry.

  • Mr. EP9

    Ok, I understand why GM had to do this but you can’t expect 2800 people to just drop everything, move their entire families out of state and have to go through the annoying process of finding new schools for their kids, new homes, and deal with other issues like finding home care providers for elderly relatives etc…, just to work at another GM plant. That sounds like it’s more trouble than it’s worth IMO.

    • diesel_vdub

      No one is asking them to move out of state. DId you read the article? For every affected facility except the one in MD, there are other local facilities that they have the option to transfer to. Canada of course is another exception.

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