Tuesday, 27 November 2018

'Corporate Greed at Its Worst': After Reaping $514 Million From GOP Tax Scam and Billions in Public Subsidies, GM to Fire Nearly 15,000 Workers

quote [ "General Motors' decision to gut its workforce epitomizes the bad corporate behavior Republicans in Congress have incentivized for generations." ]

One of the plants being closed is in an area of Detroit once known as Poletown. It was an immigrant community claimed via eminent domain. Picture Gallery: Poletown, the Detroit neighborhood demolished for GM plant
[SFW] [business] [+7 Sad]
[by steele@5:41pmGMT]

Comments

satanspenis666 said @ 8:04pm GMT on 27th Nov [Score:2]
UAWs across all GM locations should put their tools down and send a clear message that this is not acceptable.
thepublicone said @ 11:25pm GMT on 27th Nov [Score:1 Underrated]
The optics are horrible, but here's the thing: GM should have done this a decade ago. They are so far behind the curve in automotive development and design that they are only just now acting on automotive trends that have been apparent since Toyota released the Prius to the masses..... or GM unveiled the EV-1, and then killed it, in like 1996.

GM has been behind the curve since the late 70s, and only their sheer size has kept them afloat this long. Cutting these plants is shit, and the optics of moving the excess to Mexico/China/wherever even worse, but, if you understand the industry- and, in particular, GM's place ahead of only Fiat-Chrysler (excluding JEEP) in terms of not understanding where the industry is now and is headed in the next decade, this is not just expected (all of these plants are OLD, making cars the old way) it is actually WAY late, perhaps even too late.

When was the last time anyone who didn't own a rental company or a fleet unit buy a Lacrosse, Impala, or Cruze? The Volt has been replaced with the Bolt, itself a giant sales turd. And do people under the age of 60 still buy Cadillac? You have Lexus, Audi, Infiniti, Land Rover, VW and BMW to choose from, most of which are at lest mostly made in the states- why would you buy an overpriced low quality piece of shit? Asking if someone buys Cadillac is basically the same as asking whether anyone other than Matthew McConoughey and Serena Williams own a Lincoln; the correct answer is "What the fuck is a Lincoln?"

So, good on GM for doing what is necessary, even if it means a short-term bloody nose in the PR department; its not like its going to matter anyway- the company will collapse in the next downturn, and the only thing they will sell- probably as a stand-alone "GMC" or "Chevy Trucks" brand owned in part by one or more companies- when the dust settles and the bankruptcy lawyers are done are the Pickup Trucks and, if we are lucky, the Corvette.
Bleb said @ 12:32am GMT on 28th Nov [Score:1 Good]
This.

GM's passenger vechicle division has been producing garbage that no one wants for 20 years now. You'll see one Cruze for every 100 Civics and Corollas. As far as pickups go, I don't know what it's like in the States, but in Canada GMC lags far behind the two-horse race of Dodge Ram and Ford F150. I literally had to google GMC's pickup model name. (It's Sierra).

The workers aren't to blame, and it sucks that they're the latest obituary in the manufacturing sector, but this isn't just corporate greed. There's a healthy dose of corporate incompetence involved, too.
throatstabber said @ 7:33am GMT on 28th Nov
Just wanted to point out that if someone has to google what GM's full size pickup model name is, they are in no position to be commenting on the automotive industry.
rhesusmonkey said @ 5:48am GMT on 29th Nov
Silverado? that's the Chevy equivalent to the 150 / Ram, yes?

what ever happened to light trucks like the S10? Guys i went to school with used to lower those and tub them out for a lowrider.
steele said @ 12:22am GMT on 28th Nov
That GM is up for labor contract negotiations next year I'm sure is totally unrelated.
yunnaf said @ 1:26am GMT on 29th Nov [Score:1 Insightful]
https://www.npr.org/2018/11/28/671429569/gm-makes-changes-to-move-forward-to-the-electric-vehicle-market
GREENE: So what is changing in the industry that is forcing this? And why might it be a surprise if these trends have been there for some time?

MAYNARD: Well, I think the carmakers have successfully been selling big SUVs, pickup trucks and what are called crossover vehicles. And their profitability is so high. And they cleaned up lots of debt in the auto bailout at General Motors and Chrysler that people thought everything was fine. But underneath the surface, we're seeing kind of an attitude change towards car ownership. The youngest consumers put off getting their driver's licenses. They have lots of student debt. They're putting off buying new vehicles. These are the people you see on scooters and skateboards and bike share.

GREENE: Those are people - the companies look at that and they just see potential customers who are not driving cars at the moment.

MAYNARD: Well, not only driving but not owning, and that's the big issue for them. So I think what they've been trying to do is sort of front-load everybody they can into pickups and SUVs, which are really high-profit vehicles, and then, you know, wait for the future to come. But unfortunately for a lot of people, the future's already here.
GREENE: So we talk about this being a surprise, the fact that Americans want SUVs and these bigger vehicles. I mean, should a company like GM have realized that? Like, they're killing production of this hybrid, the Volt, which was seen just a decade ago as the future, right?

MAYNARD: Yes. In fact, they went before Congress in order to argue for what was then called a bridge loan and said the Volt is the vehicle of the future. We're going to move into a future with hybrid vehicles, electric vehicles. Now we're talking about self-driving vehicles. But underneath it all, they were still building what we call cars by the pound, the big vehicles. And, you know, at some point, it just - the string just runs out.
rhesusmonkey said @ 5:43am GMT on 29th Nov
i think the comment about ownership is valid, except of course this is only GM (so far) we're talking about. High student loan debts means limited funds for a new vehicle, which means a $15000 Civic is easier on a 5-7 year financing than a $45000 SUV.

GM just doesn't understand the market dynamics to think they could push Cruze or G6 or whatever onto entry markets here. I don't even know what a GM hot hatch contender would be.

Ford had Focus amd Fusion, but they are also paring back that ve Escapes and of course F150s. Electric from Ford? Bueller? idk. But a Nissan Leaf is a good (cheap) get-to-work car and a BMW i3 likewise. definitely not stylish, but functional.
King Of The Hill said @ 2:58pm GMT on 12th Dec
Gm has the fucking best plug in hybrid on the market (Volt) ... well until next quarter anyway. That is the one car they got right but didn't bother to market properly.

Kia, Hyundai, etc are able to manufacture here in the south and maintain margins on sedans... No wonder Ford and GM are getting out of the sedan business here in the US.

Can't maintain jobs if the product they produce doesn't sell or isn't profitable long term.
rhesusmonkey said @ 4:58am GMT on 14th Dec
The Chevy Volt, at least the first year model (I haven't looked at it since) was an ugly car. Straight up boxy fat-ass never-get-laid-with ugly. particularly when the peer group of Hybrids or full Electric at the time included the Model S and even a reasonably not-ugly Prius. i think Fiskar Karma may have been out, or at least public knowledge at the time too.

The Bolt looked better, but like the Leaf or various Smart cars, it is just for commuting, not a particularly functional family car.
King Of The Hill said @ 9:40pm GMT on 18th Dec
Just bought a Volt on Saturday... Perfectly functional family car for us.
rhesusmonkey said @ 5:47am GMT on 19th Dec
i saw a Cadillac ELR recently which has a nicer design style and shares the same drivetrain as the Volt. That i might have considered.

Last time i bought a new car i was looking for a 7-seat minimum SUV or XUV, hybrid or electric. wanted room for people + car seats + luggage, so most 5-seat were out of scope.

Settled on a 2014 Nissan Pathfinder. next time i look to buy something i hope there are more all-electric options than the Model X.
C18H27NO3 said @ 9:40pm GMT on 27th Nov
the tax cut was to pay for severance.

Nah.
mechavolt said @ 10:58pm GMT on 27th Nov
Privatized profits, socialized risks. American capitalism in practice.
Fish said @ 5:50am GMT on 28th Nov [Score:-2 Boring]
filtered comment under your threshold

Post a comment
[note: if you are replying to a specific comment, then click the reply link on that comment instead]

You must be logged in to comment on posts.



Posts of Import
4 More Years!
SE v2 Closed BETA
First Post
Subscriptions and Things
AskSE: What do you look like?

Karma Rankings
ScoobySnacks
arrowhen
HoZay
lilmookieesquire
XregnaR