[ad_1]
November 27, 2018 09:08
|
Last updated on November 27, 2018 at 18:55
General Motors (GM) has announced the closure of seven plants worldwide as part of a restructuring plan.
The automaker announced in a statement that it would close two assembly plants in the United States and one in Canada, as well as two other unidentified factories located in other countries.
GM added that it would also close two engine production plants in the United States.
The five North American plants affected by the announcement (Oshawa, Detroit-Hamtramck, Lordstown, the three vehicle assemblies and Baltimore and Warren, which produce engines and transmissions) employ approximately 14,500 people.
The company did not say in its release the number of workers who will lose their jobs, but pointed out that "measures are being taken to reduce" the workforce by 15%, a percentage that includes "25% fewer executives to streamline decision-making. "
The company said these measures were part of a process of "transforming for the future" and "reorganizing" its global workforce to "align its manufacturing capabilities".
According to GM, the closures will save about $ 6,000 million.
In addition to these factories, GM said that by the end of 2019, production will cease in two others located outside of North America, without providing more details, although it will do so soon .
These seven closures are being added to the already announced Gunsan assembly plant in South Korea.
"The actions we take today continue our transformation to become very agile, resilient and profitable, while leaving us the opportunity to invest in the future," said Mary Barra, President and Chief Executive Officer. from GM management.
"We are aware of the need to stay abreast of changing market conditions and consumer preferences so that our company is able to succeed in the long term," added Barra.
[ad_2]
Source link
