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General Motors announces the closure of seven plants worldwide

November 27, 2018 at 09:08
Updated on November 27, 2012 09:11 AM

General Motors (GM) restructured seven plants within a restructuring plan.

The automaker said in a statement that two United States assembly plants will close and the other in Canada, as well as two other identifying countries.

GM added that it should also close the two production plant in the United States.

According to the announcement, five American plants have announced that around 14,500 people (Oshawa, Detroit-Hamtramck, Lordstown, three vehicle assemblies, and Baltimore and Warren produce engines and transmissions).

The company did not specify the number of employees to lose their jobs, but stressed that workers will reduce by 15% "actions", reducing this percentage to "25% less executives to make decisions". ".

The company has stated that these measures are part of a "transformation" and "reorganization" process that is "aligning manufacturing capacity".

According to the GM, the closure can save around $ 6 billion.

In addition to these plants, the GM said that by the end of 2019 production will remain in other two states outside of North America, without further details, although it will soon be available.

These seven enclosures have already been added to the Gunsan assembly factory in South Korea.

"The actions that we take today continue to make our transformation very quick, elastic and profitable, while providing us with the flexibility to invest in the future," said the GM President and Mary Barka's CEO.

"The market conditions and consumer preferences need to be changed, the possibility of achieving long-term success", Barra added.

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