GM Wacked the Camaro and now lots of workers

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General Motors Co. will lay off indefinitely 1,314 workers at two Michigan plants as production of the Chevrolet Camaro and Bolt end, according to letters filed with the state of Michigan.

The Detroit automaker is laying off an additional 34 workers at its assembly plant in Lake Orion following ratification of its contract with the United Auto Workers, according to a Worker Adjustment and Retraining Notification.
That means a total of 945 workers will be laid off there, including job cuts announced in October that will start on Jan. 1 because of production ending of the Bolt EV and EUV on Dec. 18.

The other 369 layoffs
are happening at the Lansing Grand River Assembly plant, where GM is ending production of the Camaro muscle car. These layoffs start Jan. 2, spokesperson Kevin Kelly said in a statement.

The additional layoffs at Orion come after the automaker finalized its new contract with the UAW in which workers of GM Subsystems LLC, a GM subsidiary, are now included. These workers, who do some jobs previously performed by workers under the national UAW-GM contract and tasks dedicated to electric-vehicle production, previously had their own contract and were paid less than traditional GM production workers. They had received $18.50 to $22 per hour and were bumped up to full production wages in the new agreement, which top out at $35.88 per hour after the latest 11% pay hike.

"We were unable to provide more notice of this Additional Planned Action because the most recent Collective Bargaining Agreement was not ratified until approximately a week ago," Justin Wicker, GM's director of human resources and labor relations, wrote in the WARN dated Dec. 1. "Once ratified, we had to identify the structural changes to the workforce at the Orion Subsystem facility with the inclusion of Subsystems into the bargaining unit, and determine what layoffs were required by the structural changes."

Wicker added it's possible that most, if not all, affected employment will have placement opportunities at other local GM plants. That includes at the Factory Zero Detroit-Hamtramck Assembly Center, Kelly said. Salaried employees at the plant will also be placed in "other internal opportunities in accordance with GM policy."

Orion is slated to produce electric trucks on GM's Ultium EV platform after a $4 billion investment. The automaker in October, however, said it was pushing back their launch by one year to late 2025, focusing on Chevrolet Silverado and GMC Sierra EV launches at Factory Zero.

"As previously announced, Orion Assembly will be converted for battery electric truck production, including the Chevrolet Silverado EV and GMC Sierra EV, in late 2025," Kelly said. "Construction includes significant facility and capacity expansion at the site, including new body and paint shops and new general assembly and battery pack assembly areas."

GM is planning to bring the Bolt back. Timing, production site and other details about the next-generation Bolt haven't been released.

The UAW agreement also says GM has agreed to invest $1.25 billion into Lansing Grand River for future EVs. More details on that haven't been released. GM anticipates having job opportunities for all impacted team members at the Lansing plant, too, in accordance to provisions of the UAW-GM contract, Kelly said.

"Lansing Grand River Assembly informed employees today that the plant will adjust staffing levels due to the end of Camaro production," Kelly said. "Lansing Grand River Assembly will continue producing the Cadillac CT4 and Cadillac CT5."

GMs Cruise LLC said Thursday it is laying off 24% of its workforce amid a series of changes it's undertaking while under scrutiny for its safety standards.

The General Motors Co. autonomous vehicle unit said in a blog post that the staff reduction comes "as a result of our updated operating plans." About 900 employees, primarily in commercial operations and related corporate functions, were affected by the decision.

The action comes a day after Cruise let go of nine employees, including such "key leaders" as chief operating officer and the heads of legal and government affairs — following an analysis of an Oct. 2 pedestrian accident in San Francisco involving a Cruise AV. The company's ride-hailing self-driving vehicle services remain suspended during internal and external reviews of its safety standards.

When services do restart, the company is planning to downsize them significantly. In late November, Cruise confirmed that the self-driving unit will be focused on one city when it relaunches driverless taxi service. The company will focus in the near term on using the self-driving, electric Chevrolet Bolts instead of the Detroit-made Cruise Origin self-driving robotaxi.

In a letter, Cruise President and Chief Technology Officer Mo Elshenawy told employees: "We are simplifying and focusing our efforts to return with an exceptional service in one city to start with and focusing on the Bolt platform for this first step before we scale. As a result, we are reducing our employee counts in operations and other areas. These impacts are largely outside of engineering, although some Tech positions are impacted also."

After growing in San Francisco, Cruise in the last year launched driverless ride-hailing service in Austin, Houston and Phoenix. Cruise also operated employee, friends and family services in Dallas and had recently opened that up in Miami.

GM has made several changes at the AV unit since it came under scrutiny following the crash in San Francisco. That's when a Cruise vehicle hit a pedestrian after the person, who was crossing the street, was hit by another car driven by a human and thrown into the pathway of the Cruise AV. The pedestrian was pinned under a tire on the Cruise vehicle and was pulled for about 20 feet as the car attempted to move off the road, the Associated Press reported.

The about 900 laid-off employees will remain on Cruise's payroll through Feb. 12 and are eligible for an additional eight weeks of pay, the company said. Long-term employees were offered an additional two weeks’ pay for every year at Cruise over three years. They will still receive a 2023 bonus and the company has extended medical and dental coverage and immigration support.

In a statement Thursday, parent GM said the company "supports the difficult employment decisions made by Cruise as it reflects their more deliberate path forward, with safety as the north star. We are confident in the team and committed to supporting Cruise as they set the company up for long-term success with a focus on trust, accountability and transparency.”
 
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