General Motors plans to cut thousands of jobs in a cost-cutting effort that could see as many as five North America plants shut down.
The AP reports that as many as 14,000 factory and white-collar positions will be cut. The moves are part of a restructuring aimed at cutting costs and converting to an increased emphasis on autonomous and electric vehicles.
“The reduction includes 8,100 white-collar workers, some of whom will take buyouts and others who will be laid off,” the AP reports. “Some U.S. factory workers could transfer to truck or SUV factories that are increasing production.”
The report adds: “Most of the affected factories build cars that won’t be sold in the U.S. after next year, including the Chevrolet Volt rechargeable gas-electric hybrid. They could close or they could get different vehicles to build. Their futures will be part of contract talks with the United Auto Workers union next year.”
The AP notes that the salaried reductions represent 15% of GM’s North American white-collar work force of 54,000. “At the factories, 3,000 workers could lose jobs in Canada and another 3,600 in the U.S.,” the report adds.