BREAKING NEWS! BREAKING NEWS! BREAKING NEWS!General Motors Chairman and CEO Rick Wagoner stepped down over the weekend as the United States Government mounted unprecedented pressure on the CEO and automaker that it's proposed turnaround plan did not go far enough in it's bid to restructure the automaker.
In what many view as a forced departure of the CEO by the Obama administration many view it as what may come of top CEO's who have received federal monies and who appear to not have clear ideas and plans on how the taxpayers will get a return on the Billions of dollars that have been provided to keep these failed companies afloat.
Rick Wagoner, 56 , who has run the company since 2000 and has worked for GM for 32 years issued a statement that he is stepping down immediately and Fritz Henderson will be come CEO. Fritz Henderson had been the company's Vice Chairman and COO. It is being reported that many of the GM board members will step down and new board members are expected to join the company board soon.
The Obama administration is showing some seriousness in making sweeping statements that it wants fundamental changes at many of these companies who have received federal bailout dollars. The American public has been quite vocal and angry about the continued flow of monies to troubled company's and are saying loudly enough is enough.
Wagoner gets credit for steering the company through some very troubled times and closed Oldsmobile and reduces GM's workforce from 177,000 people when he arrived to 92,000 today and among other cost cutting measures, However clearly the efforts were not enough, as the company has lost over $82 Billion dollars since 2005.
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