Trucks & Business Trends: GM Lays Off 600 at SUV Plant
When Lansing assembly plant closes for re-tooling, some workers won’t be returning.
With US auto sales slowing down, General Motors has made the decision to lay off 600 workers at the Lansing Delta Township Assembly Plant.
While the industry as a whole is still healthy, and SUV sales are still strong, the GMC Acadia is being phased out. The plant is being temporarily shut down for the next month to re-tool for the new Buick Enclave and Chevrolet Traverse.
On June 12th, the plant will re-open, but without a third shift that employed 600. However, when production ramps up early next year, 500 or so of those employees could be hired back.
“We’re advocating for additional product at the plant,” said Bill Reed, president of UAW Local 602. A representative from the plant, Erin Davis, didn’t rule out that possibility, but noted that GM wants to focus on a successful launch for their new SUV twins.
Still, things aren’t as bad as they could have been. When the cuts were first announced back in March, GM thought they might have to lay off as many as 1,100 workers. thankfully, that wasn’t the case.
If you’re among those that were laid off, things do look promising for the future of the Lansing Delta Township Assembly Plant. While auto sales slowed slightly, the US auto market as a whole still has a very healthy outlook. The biggest impact of the slight downturn for GM was pickup truck sales, which dipped slightly.
What’s more, SUV sales were barely affected, maintaining their stranglehold on US auto sales. Americans love their trucks and SUVs, so additional production – and a possible third model – wouldn’t be an unprecedented move for the plant.
A big thanks to MSN Money for breaking this story. You can read their take on the situation here.
