GM Expected to Lay Off Over 250 Workers at Canada Plant

GM Expected to Lay Off Over 250 Workers at Canada Plant

General Motors is expected to lay off over 250 workers from a factory in Canada and decreasing production at two U.S. facilities. The layoffs are due to a fallout from a strike at the assembly line that is jeopardizing the production of GM’s Chevrolet Equinox SUV, its second best sold vehicle in the U. S. Regulations put in place do not demand that the corporation initiates any contact between unions and the corporations but GM has stated they are encouraging the union to return to the bargaining table work out a deal. GM is seen to have leverage in the negotiations as GM introduced a remodeled and expanded production plants in San Luis Potosi and Ramos Arizpe in Mexico. 

            J.D. Power (an independent source for anything Autos) estimates that GM could make up for the losses in production by increasing its production in Mexico. Although an unfortunate situation for the Canadian labor workers, this would display GM’s Producing Capability and Flexibility in search of opportunities given the situation. GM along with other domestic car manufacturing companies, have been under pressure by the domestic political environment to produce electric vehicles, and are also being pressured to bring back those manufacturing jobs back state side. I hope that a peaceful resolution is reached to where all parties involved are satisfied.

By: Gustavo Ocampo

https://www.wsj.com/articles/general-motors-to-lay-off-over-250-workers-at-ontario-plant-1506035689