Justice Sirikah

GM To Reinstate 3000 Jobs On Added Shifts; Perhaps Hinting At The Coming Of Age From Its Yesteryear Challenges

by Justice Sirikah September 22, 2009
gm_logo.jpgGeneral Motors Company, or Motors Liquidation Company (PinkSheets: MTLQQ) will reinstate 2,400 jobs in a massive balancing act at three of its U.S assembly facilities where it plans to add third shifts as it seeks to consolidate production from other plants that are either being idled, shut down, or retooled to produce new vehicles, the automaker announced Tuesday. Apart from manufacturing plants-jobs, GM said it will as well restore 600 jobs at stamping, engine and casting factories, indicating an about turn from the time when its reorganization was centred upon layoffs.

  The facilities on which third shifts are to be added includes the ones in the states of Indiana, Kansas and Michigan, while plans to do the same at a Canadian plant that particularly make Chevrolet Equinox crossover vehicle are still in their infancy. Fairfax plant in Kansas, the current home of Buick LaCrosse, Chevy Malibu and Saturn Aura, would take up exclusive production of the Malibu, replacing the Orion plant of Michigan which is expected to start retooling in November.

  Ft. Wayne, Indiana, is slated to substitute the Pontiac plant of Michigan (closing this September), in the production of heavy duty trucks, including the Chevy Silverado and GMC Sierra. Meanwhile, GM plant in Spring Hill, Tennessee, will be put on capacity standby in November, according to the automaker, and leave the production of Chevrolet Traverse to another facility in Lansing Delta Township, Michigan. The third work shifts at both plants are scheduled for April, 2010.

  In proportion, GM could be on course to its North American Production target of 2.8 million cars next year, up 40 percent from the year in progress, in order to match the rebounding market. Recently the carmaker’s stocks had fallen well short of demand from dealers on account of the “cash for clunkers” programme which offered incentives of up to $4500 to return used cars for new fuel-efficient ones.

  MTLQQ shares closed at $0.76 on Tuesday, 8.49 percent up from the prior session. However, both GM and the government have since warned against the trading of the stock, saying the shares will be worthless once liquidation of the old company ceases. On the other hand, none of the two has a legal right to prohibit the trading; hence investors are still buying the stock in anticipation of profiteering.


  Reference:
http://www.gm.com/

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