GM killing Chevy Volt, Cruze, Impala and Buick LaCrosse cars



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General Motors said it will cut more than 10,000 salaried employees and factory workers and close five factories in North America by the end of next year, part of a comprehensive realignment to prepare for a future with more cars purely electrical installations.

Four mills in the US and one in Canada in Oshawa, Ontario, may be closed by the end of 2019 if the automaker and its unions fail to reach an agreement to allocate more work to these facilities, GM said in a statement. Monday.

Along with two other factory closures outside of North America, the company is shedding some of its slower selling sedans. Specifically, GM said the company will cut the Buick LaCrosse, Chevrolet Impala and Cadillac CT6 sedans next year.

The plug-in hybrid Chevy Volt will also be launched along with the compact Chevy Cruze, which will be manufactured in Mexico for other markets.

The cuts come in the wake of surprisingly strong gains in the third quarter. GM CEO Mary Barra is trying to make the company leaner, as demand for autos in the United States slips from a record in 2016 and sales in China – another GM profit center – are also on the rise. which gives.

Barra is also transferring resources to the construction of electric cars and, eventually, vehicles that drive themselves.

"We are taking these actions while the economy is strong," Barra told reporters in Detroit. "This industry is changing very rapidly. We want to make sure we're well positioned. We think it is appropriate to do so while the company is strong and the economy is strong. "

The plan to cut 15 percent of salaried workers follows a round of acquisitions that GM offered for about a quarter of its longest workforce by the end of October. GM said the cuts will boost free automotive cash flow by $ 6 billion by the end of 2020 and result in single charges of up to $ 3.8 billion in the fourth quarter of this year and the first quarter of 2019.

The likely paralyzes have already led GM to political pressure, with Canada's Prime Minister Justin Trudeau tweeting that he expressed "deep disappointment" with Barra directly.

US mills are in places that have been economically devastated by job losses and pressure on wages for decades, which helped lead the 2016 election of Donald Trump as president.

GM is cutting more than 6,000 hourly and salaried workers in its factories and 15% of salaried workers in North America for a total of more than 10,000.

While GM is buying and firing employees at its major automotive operations, the automaker added about 1,000 people last year at its stand-alone Cruise division.

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