The new black Monday in the valley of the mill GM Lordstown in slow motion

By JORDYN GRZELEWSKI

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LORDSTOWN

According to Tommy Wolikow, General Motors' assembly plant in Lordstown is as vital to the Mahoning Valley as soul to body.

The plant was crucial for the survival of Wolikow's family; between him and his father, the two men have more than 50 years of service at the factory. For Wolikow, continuing the family tradition at the factory was a dream come true.

And although he and his fiancée were fired from the factory last January, none of them lost hope of returning to work here.

This hope however weakened on Monday with the announcement by GM of the definitive interruption of production at the Lordstown factory on March 1st. As part of a major restructuring of its global operations, the automaker has announced plans to close five plants in North America – Lordstown, two in Michigan, one in Maryland and one in Canada – and reduce by 15% the number of salaried employees and salaried employees.

"If GM Lordstown closes, it will be devastating for our region – and for me personally, it really hits home," Wolikow said.

In a press release issued Monday morning, GM unveiled several strategies to "accelerate its transformation for the future".

"Given the changing customer preferences in the United States and the decline in car volumes related to the market, future products will be allocated to a reduced number of factories next year" said GM.

US Rep. Tim Ryan of Howland, D-13th, called the news "a new black Monday in the Mahoning Valley," a reference in September 1977, when the announcement of the closure of the one of the largest steel mills in the valley.

GM has invested heavily in its range of crossover vehicles, SUVs and trucks, types of vehicles that consumers increasingly prefer. The small car market has contracted faster than expected by experts. Small car sales now account for less than 30% of the US market. The Cruze has not been spared by this trend. GM's latest sales report, for the third quarter of 2018, reported a 27.4% year-over-year decline in Cruze sales. Cruze's sales problems resulted in the layoff of two teams at the Lordstown plant over the past two years.

Monday's news has landed as a "punch in the stomach," says Dave Green, president of United Auto Workers Local 1112, which represents about 1,500 GM and contract factories that will be affected by the closure of l & # 39; plant. press conference at the Union Hall in Warren Monday afternoon.

This announcement follows recent job losses related to the closure of Northside Hospital, a local Kmart distribution center and Toys "R" Us stores, to name a few. only a few, noted Green.

But it also touches on an area that has never completely recovered, economically or psychologically, from the collapse of the steel industry in the 1970s. In the dark days, the GM plant – where his first vehicle, a Chevrolet Impala, came out of the chain in 1966 – has been an anchor in the community, employing thousands of workers and boosting the economic opportunities of dozens of other companies in its supply chain.

In addition, thousands of families had the opportunity to buy a house and raise their families here; shop at local businesses; and give back to the local community.

"There is no neighborhood in the Mahoning Valley that will not be hurt and affected by it. And there will not be a business in Mahoning Valley that will not be affected by this, "said Ryan, speaking to reporters in the UAW Local 1112 room. "It stings. It hurts."

Idling the plant will have a direct impact on local businesses that supply or contract to the plant, such as global logistics in Austintown.

"Lordstown is [Comprehensive Logsitics’] single customer. We are united at the hip with Lordstown, "said Jose Arroyo, USW Local Representative for Comprehensive Logistics. "When they lost a quarter, we lost a quarter. When they lost a second quarter, we lost a second quarter, "

"We have been directly affected in the intestine with the news today. They are people with families who need a lifestyle and health care, "

He said he saw the number of union members increase from 600 to 180.

"It could be catastrophic for the valley," Arroyo said.

Ryan was part of a group of elected officials, including US President Donald Trump, who spoke on Monday about this news.

Ryan took an angry tone by speaking out against the corporate tax cuts that GM had benefited from last year; the announcement of this news by the company during the holidays; and Trump's lack of intervention on behalf of the plant, despite the President's repeated promises to preserve these types of jobs.

Ryan was not the only one to remember Trump's rally in July 2017 in Youngstown, where Trump said, "These jobs [that] have left Ohio, they come back. … We will fill these factories. "

"Do not sell your house," he urged the crowd in the valley.

The rhetoric of Trump's campaign to save blue-collar jobs echoed many local voters; he even managed to overthrow the historically democratic county of Trumbull County in the 2016 election, winning 49,000 votes.

"He has been campaigning here. He said, "Open the steel mills. Open the coal mines. Get those plants up and running again, "said Ryan, highlighting the corporate tax cuts Trump passed last year. "All the sales work was," They will reinvest in the factories and we will start building things in the United States. ""

"You can not get his attention for two years," said Ryan, exasperated. "Pay attention to what's going on. Stop, because real people are hurt by what is happening here. … [Trump] did not lift a fucking finger. He might have been the only person who could have helped.

Trump, interviewed by a reporter on GM's idling in the Lordstown plant, said he was "very tough" during a conversation with GM CEO Mary Barra.

"I spoke with her when I heard that they were closing. And I said, "You know, this country has done a lot for General Motors. You better go back there soon. It's Ohio, and you'd better get there soon, "said Trump.

Trump, noting the Cruze's declining sales, said GM should reassign a vehicle to the Lordstown factory that is selling well.

"I do not doubt that in the not too distant future, they will put something else. They'd better put something else, "he said.

What will happen to the plant, however, remains to be seen.

Ryan said he had asked GM officials what would happen to the standby facility. "They did not have a good answer to that," he said.

Industry analysts have said that contractual negotiations between the UAW and GM next year would be a critical period because it is at that point that decisions regarding product allocations are usually taken.

Michelle Krebs, executive analyst for Autotrader, said that the writing was not yet on the wall for the Lordstown factory.

"This is all part of the UAW 2019 contract negotiations. When they negotiate with the union, job security and future products go hand in hand," she said.

The Lordstown plant, she said, will compete with other factories without product allocation.

"They can compete with the other plants on the list for any new product," she said. "It does not mean they will win. I do not know what products will come in or what capacity GM will need for them, or how they will reorganize some of these products. But it will be a competition.

An announcement on such a decision will probably be announced in August or September, she said.

Jeremy Acevedo, head of sector analysis at Edmunds, said it would not be uncommon for the UAW to obtain such a commitment during contract negotiations.

"There are examples of this type of back-and-forth and negotiations that benefit workers and factories," he said.

Although they fear the worst case scenario, it is for this reason that local UAW representatives and their elected officials say they hope the GM Lordstown era is not over.

Green said a campaign launched last Monday to rally support for the factory, "Drive It Home", will continue. He encouraged people to visit driveithomeohio.com.

"The fact that we are not in a closed status, the fact that we are in an inactive and unallocated status gives me hope," he said.

He hopes that the location of the Lordstown plant, its workforce, and the widespread support of the community and the political world, will distinguish it when the time comes for GM to make decisions about future products. .

"We have the best workforce in the world and GM needs to see it, recognize it and I think it will," he said.

A spokesperson for the local plant sent media inquiries to GM's head office; calls to a spokesperson were not returned.

The news of the closure of the GM Lordstown complex has had repercussions throughout the valley.

For many, the news evoked images of the Black Monday of 1977 and the announcement of the disappearance of the steel mills and jobs that occupied so many.

US representative Tim Ryan of Howland, D-13th, said this in his initial statement: "Our generation is now facing a new black Monday in the Mahoning Valley. GM's announcement is devastating for the men and women working in Lordstown and for everyone here in the Mahoning Valley. "

Throughout Monday, community members shared their thoughts with The Vindicator:

•••

"We did not see it coming," said Jess Adams, a 40-year-old GM employee in Lordstown, Monday afternoon leaving the factory, after learning that it would close its doors. doors in March.

"I hope they will change their minds and give us a product," Adams said. "We have always survived before and I think the factory is in a good position."

The location near the Ohio Turnpike is an asset, and "I think our staff is probably one of GM's best." He added, "I've been here for 40 years and I've seen the changes that occur . And we have changed for the better. And now, we have to change more. "

•••

Dan Lawrence, a retiree of GM Lordstown, said it was disturbing to see how much automakers are pushing consumers to buy sport utility vehicles rather than cars.

"It's sad how they advertise their ads," Lawrence said Monday morning at Nese's restaurant in Lordstown. He said GM's Buick ads are an example. They show people watching a car and wonder how they will get a load of football players or surfboards inside.

"They have a whole range of Buick – there are four-door cars, two-door cars, and SUVs – but everything drives people to buy SUVs."

He stated that his wife, Linda, and himself had gone to a Cadillac dealership and stated that they were interested in four-door cars.

"They looked at us like we were crazy," he said.

•••

Lordstown's superintendent of schools, Terry Armstrong, said he was devastated.

"Like everyone else in the Mahoning Valley, Lordstown schools were first thought of for the workers and their families at GM Lordstown," he said. "We have already found that school families have been negatively impacted by the elimination of the first and second shifts and this news is now devastating. Our school community will be there for them and will work with all agencies in the area to help in any way possible. Our thoughts go out to all GM Lordstown employees, their families and all the other workers in the area and their families affected by the recent job losses. "

•••

"I hope the plant will not close," said Jason Dickey of Newton Falls, owner of a construction company. "If this happens, the effect on the community will be [widespread].

"It's going to affect everything, housing, development, small businesses. There will be a training effect. Nothing will get better without this plant there. "

•••

Donna Himes of Lordstown said the news of the fence was "heartbreaking".

His son is still employed at the factory, but many of his colleagues have been transferred to Tennessee and other places where he has had to consider it himself.

She fears that this is the news that sends her son to another part of the country.

"If he moves out and leaves, it will break my heart," she said. "I just lost my husband two years ago, and Matt was my rock."

•••

James Dignan, President and CEO of the Youngstown / Warren Regional Chamber of Commerce, said the news was disappointing.

"We understand the commercial decision taken by GM as it moves forward in the execution of its strategic plan, we knew that consolidations would be imminent, but the timing is disappointing," he said.

Mr. Dignan said he hoped the Drive It Home campaign would continue and that the region would remain open not only to GM, but also to other investors.

"We must have hope [with] eyes open and prepared for the next opportunity, "he said.

•••

Jim Graham, chairman of Warren City Council and former union leader at GM Lordstown, said, "The hard work of the people of Lordstown has been accomplished over the years and the quality of the product they have come up with. .. General engines, "he said. "For GM to turn its back on this factory, it does not seem right."

Graham added that he hoped that President Donald Trump would "wake up and smell coffee".

"He won this area – a largely democratic space and he has not said a word yet, it's pathetic," he said.

•••

Greg Greenwood, owner and operator of Greenwood Chevrolet, said that no one really knows what the news means in the long run.

"The last thing that would matter is how it would affect local car dealerships," he said. "The [GM workers] did an amazing job [and] builds amazing products in a very collaborative way. Sedans are no longer selling as before. My heart is sensitive to them. "

Greenwood said the community needs to unite to support the workers affected by the recent edict.

"We need to leave as many doors open as possible with the support of the community," he said.

•••

Diane Sauer of Diane Sauer Chevrolet in Warren said "foremost" that her dealership "thinks about the people most directly affected, namely the employees of the factory".

"Will this affect my business? Yes, that's fine, she said. "I hope that efforts to secure future jobs will be successful." She was referring to the HomeGoods distribution center in Lordstown and the AutoParkit automated parking company developing facilities on Dana Street in the old facilities. from Packard Electric to Warren.

"We have no choice but to go ahead and hope that positive things will happen, perhaps the efforts to get a new product [at GM Lordstown] will succeed, but we do not know it, "said Sauer.

•••

Brian Pearson, Girard Firefighter and Secretary of Local 1220 of the International Association of Fire Fighters, said the news was disappointing.

"We are thinking of our brothers and sisters of the UAW and their families who will be affected in the future," he said.

The potential closure is a huge success for the valley, but "the Mahoning Valley knows how to be resilient," he said. "I am optimistic that they will find a solution and go forward."

Pearson pointed out that taxpayers had bailed out GM in 2008, and it seemed that the company in recent years had returned and invested more in their operations in Canada and Mexico.

Girard firefighter Luke Grunder, president of Local 1220, said the news was devastating for the valley and that unionized workers were being attacked.

"They continue to post these high profits, but they do it from the employees. It's despicable, it's corporate greed at its best, "he said.