US firm, which exited UK market in 2017, says cost-cutting measures are part of a restructure to focus on autonomous and electric cars
James Attwood, digital editor
26 November 2018

General Motors is planning to shut seven factories and shed 15% of its workforce as part of a major restructure that will also involve shifting investment into developing autonomous and electric vehicles.

The US firm has struggled with falling sales in recent years prompting a major revamp, which has included selling Vauxhall and Opel, its British and European brands, to the PSA Group. GM had previously axed Chevrolet's UK arm in 2014.

In North America, GM's sales have been hit hard by falling demand for saloon cars, and the firm is set to follow rival Ford’s lead in culling most of its saloon models to put greater emphasis on SUVs and pick-up trucks. According to reports, the Chevrolet Cruze and Impala, Cadillac CT6, Buick LaCrosse and Chevrolet Volt hybrid will all be axed.

GM has now announced it is planning to close five North American plants by the end of 2019: assembly facilities in Detroit, Ohio and Ontario, Canada; and transmission factories in Michigan and Maryland. It will shut two unnamed plants outside North America, in addition to the previously announced closure of a plant in Korea.

As part of a ‘staffing transformation’, the firm is also aiming to reduce its workforce by around 15% – about 18,000 jobs – which it says will include cutting 25% of its executive staff. GM expects the move to reduce costs by around £3.5 billion.

Having developed new vehicle platforms, GM says that future investment will be focused on developing its next-generation battery-electric vehicles.

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23

26 November 2018
Bloody Brexit..

26 November 2018
Rodester wrote:

Bloody Brexit..

Tempting as it is to blame Brexit, this is actually a symptom of USexit. The writing was on the wall when USA seceded in 1783. Sure, it's taken a while to feel the full consequences, but the trickle down effect, by definition, acts slowly.

Let this be a lesson to those irresponsible, brazen Brexiteers!

27 November 2018
jason_recliner wrote:
Rodester wrote:

Bloody Brexit..

Tempting as it is to blame Brexit, this is actually a symptom of USexit. The writing was on the wall when USA seceded in 1783. Sure, it's taken a while to feel the full consequences, but the trickle down effect, by definition, acts slowly.

Let this be a lesson to those irresponsible, brazen Brexiteers!

How about we blame Volkswagen then?

26 November 2018

Cars are lasting longer, population growth stalling, a few new big manufactures have come on song in last decade or so, Chinese cars are improving etc. Wonder if a big name will go to the wall in the next 5 years?   

typos1 - Just can’t respect opinion

26 November 2018

So between Ford and Chevrolet the only big American saloon you could buy/rent in the states will be the Malibu?

26 November 2018

But do/will they actually drive any good? or be built to a decent level of quality, even when the bonnet is having a "premium" badge stuck to it? Spin off the corvette into a seperate company, sell it to someone who'll develop it properly, and then close everything else down. Have GM ever made a decent car or looked like they knew what they were doing? The numbers being discussed in this article are simply insane! Yet somehow, whenever psa say ellesmere port needs sorting out everyone jumps on them as if they're evil and closing it was the plan from the start, and some inevtable brexit assumptions and nonsense - no it wasn't, gm is a mess ran by complete boneheads and they're inherrited some of this stupidity.

26 November 2018

GM have been talking about downsizing for some time, now. They feel that demand for cars is going to drop through the floor in the next few years and are future proofing. As for Russ13B's comments; they've made loads of good cars including all of Cadillac, Camaro and Corvette. I think they know what they're doing with Corvette without having to hive it off to anyone else judging by the rave reviews it receives.

26 November 2018
Straff wrote:

GM have been talking about downsizing for some time, now. They feel that demand for cars is going to drop through the floor in the next few years and are future proofing. As for Russ13B's comments; they've made loads of good cars including all of Cadillac, Camaro and Corvette. I think they know what they're doing with Corvette without having to hive it off to anyone else judging by the rave reviews it receives.

Cadillac have included some failures and have had two decades off the pace generally - Camaro sales are way down compared to Mustang and Challenger - Corvette is the only jewel left in GM's former crown.

27 November 2018

they haven't for a long time, and have mismanaged basically everything. Owned lotus for 10 years; where's the excuse for vauxhalls being set up so badly, even the sporty ones? Everything's done on the cheap then given bonnet badges, that's why saab were up against it all the time, and also why it was harder to shut saab down that it was with pontiac and the others. Buy companies, then try to work out what to do with them, and completly devalue the name; everything backwards. how long is it since cadillac had their own engines?

26 November 2018

No sign of Merc, BMW and Audi saloons disappearing.

GM have been incompetent numpties for a long while now......

Steam cars are due a revival.

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