GENERAL Motors has announced it will axe around 15,000 jobs worldwide - or 15 per cent of its global salaried workforce, including 25 per cent of its senior executives - but Holden and its Australian-based design and engineering operations remain safe from the job cuts.
"We have a lot of pressure on them". The automaker says the decision to reduce American production has to do with reduced demand for cars like the Chevrolet Cruze, which is built at the OH plant, and an overall strategic shift towards more popular crossover and SUV models. The second concerns the future: Doubts abound that GM and other century-old industrial giants will be able to cope with the rise of electric cars and self-driving technology, especially with the likes of Tesla Inc. and tech giants such as Google's Waymo perceived to be on the forefront.
In the GM press release, Barra said the decisions were made to reflect consumer preferences and the changing market conditions. "I think that is a pretty profound statement from GM that they choose to do it at this time", Keller said. "They better put something else in", Trump, who has pushed for more manufacturing jobs throughout his nearly two years in office, said. "I'm not sure I know how they would go about doing that".
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Trump's aggressive trade policies have been aimed specifically at saving USA manufacturing jobs, including the renegotiation of the North American Free Trade Agreement which took aim at rules governing auto trade to favor the United States industry.
The president's remarks follow GM's announcement on Monday about closing assembly plants in Detroit-Hamtramck and Lordstown, Ohio, along with transmission plants in Warren and the Baltimore area. It would not say how many have accepted the buyouts, but it was short of the company's target because GM said there will be white-collar layoffs. Oshawa assembly plant in Oshawa, Ontario, Canada, on Monday, Nov. 26, 2018.
The company also said it will stop operating two additional factories outside North America by the end of next year, in addition to a previously announced plant closure in Gunsan, Korea.
The closures will be accompanied by a broader restructuring, reducing GM's overall salaried and contract workforce by 15 percent. Analysts were generally upbeat about the news. Not at all. We've let our position be known and we're not happy about it", "This country has done a lot for General Motors.
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The company has been hit hard by steel tariffs after President Trump vowed to take on China.
GM did not immediately comment on Trump's remarks, but the company noted it has other facilities in OH including a transmission plant in Toledo and metal center in Parma. Ford said in April it planned to stop building almost all cars in North America, preferring to focus on SUVs and pickup trucks.
However, spokeswoman Julie Huston-Rough denied the charge, telling AFP that "these products will not be manufactured in other locations for the North American market".
In July 2017, Trump made a speech in Youngstown, Ohio near the GM plant and vowed jobs were "all coming back".
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Jerry Dias, president of Unifor, the Canadian labour union, said he "will vigorously fight again to maintain these good-paying auto jobs". "In the meantime, we've set up a jobs center to help employees find new work as quickly as possible", he said in the statement.