GM to slash 14,700 jobs in North America

Donald Trump’s victories in Ohio and Michigan—places where General Motors will shut shop—helped seal his electoral vote total and the presidency

GM to slash 14,700 jobs in North America

The union that represents its Canadian workers said in a statement that GM's expected decision does not "live up to the spirit" of certain commitments the company made to union members during 2016 contract negotiations.

"We are announcing the cessation of certain products resulting in a number of plants being without allocated volume to produce", GM spokesperson Julie Huston-Rough told NPR.

More than 16 months ago, the UAW confirmed that it was discussing with GM the potential threat to plants and jobs from slumping US sedan sales.

The biggest USA autoworker union vowed to fight GM's plans.

Even with the higher spending on electric and autonomous vehicles, GM plans to reduce overall annual capital spending to$7 billion by 2020 from an average of $8.5 billion a year during the 2017-2019 period. Wall Street cheered the actions, while United States and Canadian leaders expressed outrage.

Among the factories GM plans to close is one in Lordstown, Ohio, that makes the Chevrolet Cruze.

Those cuts are in addition to $6.5 billion that the company has announced by the end of this year.

At a rally near the plant last summer, Trump talked about passing by big factories whose jobs "have left OH", then told people not to sell their homes because the jobs are "coming back".

In that AP report, Lordstown was singled out as a "possible target" for GM, citing the need to reduce personnel and the uncertainty of whether enough employees took a proffered buyout from the company.

More than 16 months ago, the UAW confirmed that it was discussing with GM the potential threat to plants and jobs from slumping USA sedan sales.

Barra said GM is still hiring people with expertise in software and electric and autonomous vehicles, and many of those who will lose their jobs are now working on conventional cars with internal combustion engines.

"In contrast to times past, General Motors, under CEO Mary Barra, is trying to get ahead of a potential crisis by making cuts now", said Michelle Krebs, executive analyst at Autotrader.

Liberal Leader John Fraser asked where Ford has been, how many meetings he has held with GM since becoming premier.

Industry Minister Navdeep Bains says the government is looking at all options but that GM has been very clear that its position on the closure is not negotiable.

Meanwhile, GM's plant in Oshawa, Ontario, will stop making the Impala, Cadillac XTS and 2018 full-size pickups in the fourth quarter of next year. "I urged GM to at least reallocate some of the production and employees to the Toledo GM plant", he said in the statement.

"We are talking to (GM) right now about the products that they currently have" at underused auto plants such as Hamtramck in MI and Lordstown in OH, and whether they might be replaced with newer, more popular vehicles such as crossovers, said then-UAW President Dennis Williams.

Among the plants that could shut is the Detroit/Hamtramck assembly plant - which makes low-demand vehicles such as the Chevrolet Impala and the Buick LaCrosse.

"Get a auto that is selling well and put it back in", Mr Trump said. It also plans to close propulsion plants in White Marsh, Maryland, and Warren, Michigan, in 2019, the company said in a news release.

But moving that vehicle, the Chevrolet Cruze, south of the border brings the risk of provoking a backlash from President Donald Trump.

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