BREAKING NEWS! BREAKING NEWS! BREAKING NEWS!
I have been informed that General Motors is preparing to lay off more than 35,000 auto workers by this weekend. I have not been able to confirm this report, however I have been informed that GM has notified state and local agencies of it's intentions as required by law. These lay offs are individuals working mostly in the Midwest and some other parts of the country, a mix of Blue Collar and White Collar workers, an across the board slashing of hourly and salaried workers. I have not confirmed but more than likely any announcement will shut down more than a couple of manufacturing facilities.
The action is being taken to conserve GM's cash reserves to meet it's obligations over the next few months, as tries to reach a bailout deal with the Federal Government. This is a drastic move and is further evidence that the auto industry is in real trouble. This latest move to conserve cash will effect many more auto suppliers and support industries and will devastate many local economies. This move does not have a timetable to indicate if it is a permanent move or temporary.
The auto industry is definitely in peril and if it fails it will effect more than 1 in 10 workers in this country. It has been widely reported that GM will be out of cash by years end and any talk of bankruptcy will damage the company beyond repair.
Enjoy Today!
That Car Guy
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