Saturday, 23 February, 2019

GM set to begin 4,000 white collar layoffs on Monday

File The layoffs are part of a cost-cutting plan GM announced in November which will slash 15 percent of its salaried and contract staff File The layoffs are part of a cost-cutting plan GM announced in November which will slash 15 percent of its salaried and contract staff
Priscilla Morrison | 03 February, 2019, 22:57

General Motors is expected to start laying off about 4,000 white-collar workers on Monday.

The reduction of about 14,000 jobs was first announced in November, along with plans to close four US plants and one in Canada while discontinuing several sedan models.

As of Sunday afternoon, it was unclear which jobs or departments would be affected by the expected layoffs, or if salaried workers in the remaining Ontario GM plants - CAMI Automotive in Ingersoll and the St. Catharines Propulsion Plant - would be impacted.

In November, General Motors said it would cut 8,100 white-collar workers by the fourth quarter.

The statement also said the current set of layoffs would have "minimal impact in Canada". "Employees are our priority and we will communicate with them first". It's also planning to shut down four manufacturing plants in the United States and one in Canada with more than 6,000 hourly workers.

More news: Los Angeles Rams’ Brandin Cooks surprises team custodian with Super Bowl trip

But the moves were roundly condemned by politicians, including US President Donald Trump and Canadian Prime Minster Justin Trudeau.

The cutbacks that GM says are created to help the company free up $6 billion for development of electric and self-driving vehicles and other industry innovations have been criticized by President Trump, whose base has been working-class middle America.

"Everyone's waiting for the ax to fall", one Detroit employee told the publication.

Reports of the layoffs came just days after Consumers Energy, a public utility provider in MI, asked GM to suspend operations at some plants because of electricity supply issues due to the polar vortex.

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