GM Will Close Plants Across the Country to Focus on Green Cars — Is Your Town Impacted?

The company has a new motto to match the changing times.

Nearly 15,000 General Motors workers stand to lose their jobs in 2019, the company announced Monday.

The reduction in workforce will eliminate both factory and white-collar jobs as GM shifts to modernize its production and fleet from gas-guzzling passenger sedans to environmentally friendly zero-emission electric and autonomous vehicles. President Donald Trump’s tariff war with China also plays a part in the decision.

Part of the layoffs includes the shuttering of entire production plants in auto manufacturing hubs in Ohio and Michigan. As the company sunsets its under-performing conventional cars with internal combustion engines in favor of electric vehicles, so go the auto plants and assembly workers.

GM Plants to Close by End of 2019

The following plants will close by the end of next year:

  • Baltimore Ops. in White Marsh, Md.
  • Detroit-Hamtramck Assembly in Detroit
  • Warren Transmission Operations in Warren, Mich.
  • Lordstown Assembly in Warren, Ohio

The move translates to financial gains for the largest automaker in the U.S., whose brands include the Chevrolet, Buick, Cadillac and GMC brands. The company is set to save $6 billion by the end of 2019 by laying off 14,700 workers; it also anticipates a reduction of $4.5 billion in recurring annual costs and a $1.5 billion reduction in capital expenses.

The plants up for closure produce cars that have decreased in popularity, include the Chevrolet Volt, Impala and Cruze, the Buick LaCrosse and the Cadillac CT6 and XTS. GM will no longer make those models.

According to CEO Mary Barra, the cuts will make the company “highly agile, resilient and profitable” as it seeks to gain a competitive edge in the burgeoning market of self-driving and electric vehicles. It debuted a new company motto with the announcement: “Zero Crashes, Zero Emissions, Zero Congestion.” GM is still hiring professionals with experience in electric and autonomous vehicles.

Read more about Barra, Sheryl Sandberg and other powerful women worth billions.

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