Category: Jobs

By on December 4, 2018

Oshawa Assembly, Image: General Motors

Despite ongoing turmoil in the country’s oilpatch, with the government of Alberta paying to have white Dodge Durango R/T SUVs project a constantly updating tally of money lost due to discounted Canadian oil prices onto the sides of downtown Ottawa buildings, the big economic story north of the border remains General Motors.

After squashing rumors of a plant closure during the last round of union bargaining, the automaker announced late last month that the city of Oshawa, Ontario’s worst fears would indeed come true. Oshawa Assembly will close by the end of 2019, leaving some 2,500 GM workers out of a job.

It’s not the kind of situation a newly minted company president wants to preside over, but that’s the plate Travis Hester was handed from the bigwigs in the Renaissance Center. Read More >

By on November 28, 2018

2017 Ford Escape Assembly Factory Production, Image: Ford Motor Company

Have you heard about that other American automaker — the one that doesn’t callously ruin lives? This question, no doubt percolating inside the craniums of U.S. lawmakers and pundits, doesn’t need to be spoken to be heard.

What would normally be a simple announcement of a production increase at one plant and a decrease at two others took on a symbolic nature this week. Ford wants to build more large SUVs but requires fewer cars. Thanks to a quirk of geography, no layoffs are planned — something that can’t be said of GM’s scorched earth plan, right? Read More >

By on November 26, 2018

Image: General Motors

Heavy-duty streamlining has reached the production level at General Motors. After last night’s bombshell (though not unexpected) report claiming Canada’s oldest auto plant would cease operations late next year, more news is trickling out about the automaker’s production future.

Add Ohio and Michigan to the list of locales expected to lose an assembly plant. Read More >

By on October 8, 2018

Image: Ford

Streamlining rarely comes without a reduction in personnel, and it appears Ford’s $11 billion restructuring plan will indeed bring about a loss of employees in North America. While the automaker previously hinted at steep job losses in its troubled European operation, a recent report shows employees need to be worried on several continents.

According to the Detroit Free Press, Ford’s plan will leave many unemployed white-collar, salaried workers in its wake. Read More >

By on September 27, 2018

Man, if you live south of the 49th parallel, you missed quite a hubbub yesterday evening. Actually, Americans likely caught a whiff of it, as U.S. President Donald Trump’s lengthy post-UN press conference Wednesday covered a lot of topics, including the one that had Canucks up in arms.

Up here in the Great White North, a country some commenters would prefer to never see mentioned (as this writer apparently mentions it ALL THE TIME), trade remains an understandably hot topic. Canada hasn’t reached a renegotiated free trade agreement with the U.S., unlike Mexico, and there’s a Sunday deadline looming to sign on to the U.S.-Mexico accord. Tick tock. Among other planks, Canada wants to protect its dairy cartel — an entity not universally loved up here, as it greatly increases the price of common food staples on store shelves. However, protecting jobs in that sector means risking jobs in the larger auto sector, a crucial industry whose vehicles Trump has threatened to tax to the tune of perhaps 25 percent. Auto parts could see a 10 percent tariff.

Canada exported $48.8 billion worth of vehicles in 2016.

Toyota, Honda, and the Detroit Three all have assembly plants in Ontario. Last night’s news conference brought nothing but worry to the nearly 200,000 people employed in the vehicle and parts manufacturing sector. What would it mean if Trump pulls the tariff trigger? And is Canada blameless in not yet reaching a deal? Read More >

By on June 19, 2018

Image: Ford

All eyes were on the now Ford-owned Michigan Central Station in Detroit’s Corktown neighborhood on Tuesday morning, as the automaker formally announced its plan for the derelict building and surrounding neighborhood.

Ford Motor Company recently took the century-old structure, abandoned since 1988, off the hands of its longtime owners, the Moroun family. There’s still no dollar figure attached to that deal, but that’s not what Tuesday was about. Ford’s plan, ambitious and big on vision, breaks down as this: there’ll be 2,500 Ford workers employed in the Corktown neighborhood, tasked with developing autonomous vehicles and related tech. The towering train depot, once restored, will serve as the nerve center.

Joining those employees in Ford-owned buildings scattered around the site will be an equal number of employees working for partners and suppliers, or so Ford hopes. The automaker’s aiming for a miniaturized version of Silicon Valley clustered around Michigan Avenue. Read More >

By on June 14, 2018

tesla-model-3

This shouldn’t come as a shock to anyone who’s ever used Twitter — or engaged with hardcore Tesla fans. What’s good for the automaker is apparently also good for its employees, even if they’re among the roughly 3,000 workers laid off this week as the company seeks profitability through restructuring.

Some employees are saying it’s a good thing Tesla gave them the heave-ho. Read More >

By on June 12, 2018

Elon Musk + Tesla Model S Circa 2011

Tesla CEO Elon Musk announced a restructuring of the ambitious but troubled automaker on Tuesday, laying out a plan that will see 9 percent of the company’s workforce laid off.

Calling the decision “difficult, but necessary,” Musk said the cuts will come almost exclusively from its salaried workforce, leaving production workers in place. The company’s production targets for the Model 3 sedan haven’t changed, he insists. Read More >

By on April 30, 2018

Image: Wikimedia (CC BY-SA 3.0)

There’s been much made about Ford’s secret/not-so-secret plan to purchase a major chunk of Detroit’s Corktown neighborhood, including its greatest landmark — the monstrous, long-abandoned Michigan Central Station. Until now, however, the only words we had to go on were whispered by sources who preferred to keep their names out of the media.

Thankfully, Edsel B. Ford II decided to pipe up today. Read More >

By on April 28, 2018

Image: Ken Lund/Flickr (CC BY-SA 2.0)

Officially, there’s more than 220 Ford Motor Company employees ready to move into a refurbished former factory on Michigan Avenue in Detroit’s Corktown district sometime this year. A nice little burst of employment for a long-neglected, now-resurgent neighborhood, but it might be just the beginning.

The automaker is reportedly in talks with numerous property owners to create a campus totalling at least 1.1 million square feet, with the towering — and famously abandoned — Michigan Central Station as its anchor. Read More >

By on April 13, 2018

General Motors summoned all 3,000 of its Lordstown Assembly employees to the Ohio plant this afternoon, and half left the meeting with an uncertain future.

The automaker said it plans to cut the second shift at the plant, just a year after GM scrapped the third shift in the face of declining compact car sales. Lordstown, which opened in 1966, builds only the Chevrolet Cruze. Read More >

By on March 27, 2018

South Korea’s powerful labor unions have the ability to make vehicle assembly a non-starter, and the country’s workers have been known to strike like it’s going out of style. Just ask Hyundai about that.

As it seeks to bring its operations in the country back from the brink, General Motors would prefer to see its workers’ union bend to its will, agree to the concessions demanded of it, and generally get out of the way. This isn’t happening, so GM’s now playing hardball.

Agree to our cost-cutting plan, the automaker says, or GM Korea declares bankruptcy. Read More >

By on March 5, 2018

Union officials have stated that roughly 2,500 workers from General Motors’ South Korean unit have applied for a redundancy package offered as part of the automaker’s comprehensive restructuring of the region. The number represents around 15 percent of total GM staff in the area and should make negotiations with one of the most inflexible workers’ unions on the planet that much easier.

Still, what General Motors plans to do with its remaining South Korean factories is unknown, but it has already announced one closure. This has left many wondering if the automaker will abandon production in the country entirely. Fortunately, the Korean workforce has not responded with violence. In fact, many appear to see the writing on the wall, opting to take a buyout rather than cause a fuss during the restructuring.  Read More >

By on February 21, 2018

Image: Wikimedia Commons

Amid frantic restructuring designed to keep General Motors’ money-losing Korean operations afloat, the automaker has proposed a $2.8 billion investment, a new report claims.

According to Reuters, a South Korean government official said GM would invest the funds over the span of 10 years, though not all of that money would come from the automaker’s coffers. Read More >

By on February 19, 2018

General-Motors-Gunsan-South-Korea-Plant-Chevrolet-Cruze-Production-01-720x513

South Korean President Moon Jae-in says General Motors’ decision to shut down its Gunsan plant will negatively impact the region. He’s hoping his administration can work some impressive mojo to boost economic activity in the area, but admitted that GM’s quick exodus could make that tricky. There are also concerns that the automaker may soon decide to close down its remaining three plants within the country, leaving 16,000 South Koreans without employment.

“Especially, the decline in employment [at GM] and subcontractors will be difficult to bear for Gunsan City and North Jeolla province,” Moon said in a statement released by his office.

However, things haven’t been going well for GM in the region. The company said it shuttered the plant after it became increasingly underutilized — running at about 20 percent of its total capacity over the last three years. Meanwhile, GM President Dan Ammann claims Korean labor costs have increased by over than 50 percent since 2010. Worker productivity is also abysmal. It takes roughly three hours longer to build a single car in GM’s Korean facilities than it does in the U.S., and Korean strikes are becoming commonplace. Read More >

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