Just Lovely! GM on a Buttslide!

[RednBlack]

1000 Jobs lost in Moraine, Ohio factory alone. Apparently DELPHI wasn't enough. Let's see,...Who signed that NAFTA anyway? Bill. Thanx buddy! 30,000 jobs= 30,000 families. You should have so many chickens. Edited late.....

General Motors to Slash 30,000 Jobs and Shut 9 Plants
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DETROIT (Nov. 22) - General Motors Corp., pounded by declining sales and rising health care costs, said Monday it will cut more than a quarter of its North American manufacturing jobs and close 12 facilities by 2008. The United Auto Workers called the plan "devastating" and warned it will make negotiations more difficult, but some Wall Street analysts said GM's actions may not go far enough.

[pwmin]

RE: Just Lovely! GM on a Buttslide!

sold all their fuji heavy industries stock too (subaru). the only think that could have saved them

[Manitcor]

RE: Just Lovely! GM on a Buttslide!

this isnt a sruprise, they announced months ago that they planned on cutting upto 25k jobs this coming year. The revised the figure and published it since the investment firms started talking bankruptcy.

[bud36light]

RE: Just Lovely! GM on a Buttslide!

I actually banged out a new topic about this and it didnt get posted. You can talk all you want about nafta but in my opinion 2 reasons stand out about this situation. #1- GM has been mostly lost on styling and hence sales for quite a while now when compared to the competition. I think truck sales have artificially made the sales figures higher for starters. #2 reason is the hourly people (I know you worked hard to get what you got) seemed to be very reluctant to restucture their compensation. But Ill say thats only 10% of problem #2. If that. The other 90% of the problem is that I dont recall upper managment restucturing their pay at all. Hell I think this goes for alot of the blue chips these days.

[Hemet8]

In my opion, I see the real reason for the "fall" is the "legacy" that comes with working at GM. This is not the 1950's. You can't compete on a global market with labor costing you 40.00 an hour to turn a bolt and tighen a nut. It does'nt work anymore. Plus, all the retires have very nice pensions and some even have medical too, all beign picked up by GM. The fact that they are making "Geroge Jetson" cars and trucks out of plastic and crap is not helping the situwation. So now the companie faces a huge problem, that maybe has no solution. Even if they make the "perfect" car or truck, or both, there is so much varitey out now that the days of the 500,000 plus seller in a year are almost over, there is just to many choices from all the car companies combined for one car to appeal to everyone. my 2cents.

[bszopi]

Doesn't look like GM is the only ones looking into major cuts...

http://money.cnn.com/2005/12/07/news/fortune500/ford_plantclosings/index.htm?cnn=yes

Ford is looking into 30,000 hourly wage cuts in the next 5 years as well.

[bud36light]

Isnt looking good on the home front is it. Days of the good solid job for life have almost bit the dust. Just like who would have ever thought Whirlpool would buy out Maytag? I still dont see where these executives are taking pay cuts(or benefit cuts). If any one knows post it if you find anything. I did not know about the Ford thing. That makes it a little bit more spooky. We got this Japanese plant(s) that moved in and has sucked several skilled people from our place alone. The exiting interview almost always states that they are looking for LESS PRESSURE AND STRESS. What gives here?

[v6h.o.]

Yeah the best part is they're cutting these jobs and Wagoner fucking walks away with the largest CEO pension ever:

http://www.newsmax.com/archives/ic/2005/11/28/102638.shtml

Monday, Nov. 28, 2005 10:21 a.m. EST

GM CEO Secures $4.6 Million Pension


As General Motors slashes jobs, closes plants and battles to avoid bankruptcy, the company?s CEO has set up a retirement plan that will pay him at least $4.6 million a year ? nearly twice his current salary.

G. Richard Wagoner, who the New York Post calls "the greediest, most undeserving CEO since Chainsaw Al Dunlap,? was named GM?s chief financial officer in 1992, when the company had a global payroll of 750,000 employees.

Under Wagoner?s command as CFO and, since 2000, CEO, the carmaker has seen its employees dwindle to 324,000.

Now the company has announced plans to cut 30,000 more jobs and close 12 North American plants, and Wagoner is denying rampant rumors that GM is preparing for file for bankruptcy protection.

The carmaker?s pension fund is under-funded by more than $45 billion, according to the Post. But Wagoner has nothing to worry about. He has a Supplemental Executive Retirement Plan, which allows a company to use after-tax dollars "that rightly belong to shareholders to shower riches on the CEO instead,? the Post reports.

Best of all for Wagoner, this payout comes from funds that are separate from those underpinning the retirement programs of ordinary workers, which means he?ll pocket his $4.6 million-plus A YEAR even if GM files for bankruptcy.

News of the CEO?s big pension payday comes after Delphi Corp., GM?s largest parts supplier, collapsed, jeopardizing the pension fund set up for the company?s 30,000 workers.

But the company?s CEO J.T. Battenberg, like Wagoner, won?t face financial hardship after he departs the firm ? he walks away with a $1.6 million-a-year retirement package.

[DEI37]

Hey, the rich get richer, the poor get poorer. This is a class A example of that. And yeah, it sucks.

[Manitcor]

why does this reek of SEC invesgation to me?

Could it be that a huge chunk of GMs issues has todo with slimeballs like that fleecing the compnay when that money should have went into R&D improved production equipment and other costs?

[Hemet8]

No kidding. EAT THE RICH!! Those people are just screwing it up for evrybody else. Man, Ford? 30,000?!?!? Next to my pontiacs they are my fav. That sucks that they are in trouble too. Looks like we all need to hurry up and completely restore our 660's, as there probably won't be any damn parts for them after a few years.

[bud36light]

Thats what Im talking about. Talk all you want about what the labor end is costing, along with political crap like nafta and now the south am deal. These execs are where the target should be. Hell they are the ones making these great buisness deals. Har har. They are the people who actually signed these contracts and made the truck-SUV the primary bread basket. Marketing can only get you so far in sales as GM and Ford are(have)finding out.

[Manitcor]

hmm might be worth a read