GM offers buyouts to workers

Detroit

General Motors will attempt to cut costs by offering 18,000 white-collar workers in North America.

The company made the offer Wednesday to employees with 12 or more years of service.

The announcement comes the same day that GM reported a $ 2.5 billion third-quarter profit. The company says it is doing well, it wants to continue to reduce costs and the economy are strong.

The auto industry faces looming unrest in the United States and China and higher prices in the U.S. tariffs.

GM would not disclose the terms of the buyout offers. The company has about 50,000 employees in the U.S., Canada and Mexico.

Company spokesman Patrick Morrissey would not say that Those who were given the offer until Nov. 19 to make a decision, and they would leave the company by the end of the year, he said.

"We are doing proactive steps to get ahead of the curve by accelerating our efforts to address overall business performance. Employees are one example of our efforts to improve cost efficiency, "the company said.

GM has long talked about reducing costs in preparation for an economic downturn. The company strives to continue churning out profits through vehicle sales while, at the same time, investing in new technologies. The company is close to delivering $ 6.5 billion per annum of this year.

Savings from the employee reductions would come in 2019, after the buyouts take effect.

Morrissey would not say if it would be possible to buy it.

"We will evaluate the efforts," he said.

Chuck Stevens Retired Chief Financial Officer hinted at white-collar cutbacks in April of 2017 when he told analysts that GM is looking for cuts and cuts its business after its exit from Europe. Simplification "will allow us to take significant structure out of the business, whether it's corporate staff, whether it's engineering staff," he said on an earnings conference call.