Business

General Motors to slash 14,700 jobs in North America

General Motors will lay off 14,700 factory and white-collar workers in North America and put five plants up for possible closure as it restructures to cut costs and focus more 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. Most of the affected factories build cars that won’t be sold in the US after next year. They could close or they could get different vehicles to build. They will be part of contract talks with the United Auto Workers union next year.

The salaried reductions amount to 15 per cent of GM’s North American workforce out of 54,000. At the factories, 3,000 workers could lose jobs in Canada and another 3,600 in the US. Some US workers would transfer to truck and SUV plants where GM is increasing output, the company said.

GM, the largest automaker in the US and includes the Chevrolet, Buick, Cadillac and GMC brands, said the moves will save $6 billion in cash by the end of next year, including $4.5 billion in recurring annual cost reductions and a $1.5 billion reduction in capital spending.

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