GM to slash up to 31,500 jobs

Posted: Thursday, Dec 04, 2008 at 0042 hrs IST
Updated: Thursday, Dec 04, 2008 at 0042 hrs IST

Font Size

Feedback

Discuss

M&M set to roll out bikes in 2010 VW pitches for 10% market share by ’14 Skoda to realign products in India Maruti mulls smarter, greener 800

Chicago: General Motors told lawmakers that it plans to cut up to 31,500 more jobs in the United States, as it confronts a severe slump that has it begging Congress for a $18-billion bailout.

GM said on Tuesday that it planned to reduce its total US employment from the current level of 96,537 people to between 65,000 and 75,000 salaried and unionised workers by 2012.

The total number of US plants would be cut to 38 in 2012 from 47 in 2008. GM has already slashed its workforce nearly in half from the 2000 levels of 191,465 people. The company operated 59 powertrain, stamping and assembly plants in the United States in 2000. The job cuts were detailed in a report GM presented to Congress in hopes of securing government-backed, low-cost loans.

GM said it expects to be “fully competitive” with Toyota on wage costs for “both current workers and new hires” by 2012 due to “additional changes to be negotiated” with its main union, productivity improvements, turnover rates and the planned cuts. A landmark labour agreement reached last year has lowered GM's total costs for new workers to $25-35 an hour compared with Toyota's average US labor cost of between $45-50 per hour, GM said. PTI

Post Comments

Comments: (Limit 3,000 characters)

Name		Message
Email ID
Subject

TERMS OF USE:
The views, opinions and comments posted are your, and are not endorsed by this website. You shall be solely responsible for the comment posted here. The website reserves the right to delete, reject, or otherwise remove any views, opinions and comments posted or part thereof. You shall ensure that the comment is not inflammatory, abusive, derogatory, defamatory &/or obscene, or contain pornographic matter and/or does not constitute hate mail, or violate privacy of any person (s) or breach confidentiality or otherwise is illegal, immoral or contrary to public policy. Nor should it contain anything infringing copyright &/or intellectual property rights of any person(s).

I agree to the terms of use.