General Motors Company Layoffs: GM to Cut 2,000 Jobs

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General Motors Company (NYSE:GM) has announced plans to lay off 2,000 workers.

General Motors CompanyThe automotive company announced that it plans on changing its business in two of its plants due to the facts that more Americans are trading their cars for SUVs and trucks. The factories in question are located in Lordstown, Ohio and Lansing, Michigan.

The Chevrolet Cruze compact car is produced in the Ohio location, which can be found near Cleveland. Meanwhile, the Lansing Grand River factory is responsible for the Chevrolet Camaro muscle car and the Cadillac ATS and CTS luxury vehicles.

The decision to cut costs will help make way for the production of a changing demand of vehicles. The carmaker is investing more than $900 million in a transmission plant in Toledo, Ohio, as well as in the Lansing Grand River factory and a casting plant in Bedford, Indiana that will help build new vehicles.

The Lansing Grand River factory has about 2,700 workers, and about 810 hourly employees will lose their position, while 29 salaried workers are set to be unemployed.

The Lordstown location has 4,500 workers and 1,202 hourly employees will be cut from GM’s payroll, as well as 43 salaried workers.

The products that the company will produce with the new investment includes transmissions, converter housings, heads and small engine blocks, as well as a “new product program.” These products are mostly for Chevrolet, Buick, GMC and Cadillac vehicles.

GM shares have slipped 4.2% Wednesday.

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Article printed from InvestorPlace Media, https://investorplace.com/2016/11/general-motors-company-gm/.

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