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Old 12-12-2008, 01:34 PM   #1
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Default GM will temporarily close 21 plants

http://www.freep.com/article/2008121...ESS01/81212044

This article mentions that GM will close 21 plants (including Spring Hill) for the entire month of January 2009. No new vehicles will be built.

In another article I read, sources say that the temporary shutdown could extend into the first 2 weeks of February 2009.


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Old 12-12-2008, 02:13 PM   #2
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Default Re: GM will temporarily close 21 plants

Nobody is buying cars anyway, why keep building them? It's like in the restaurant business: If you aren't serving customers, don't keep making food and send some of the employess home. You're just wasting money otherwise. Besides, it gives the Anti-UAW members of the GOP a taste of things to come.

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Old 12-12-2008, 02:19 PM   #3
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Default Re: GM will temporarily close 21 plants

While it may be a "Good Thing" for GM (Saving on some utilities for a month)....it's going to put the economy in even more shambles than it is.

Hey Obama...welcome to "The Great 2009 DEPRESSION."

What are you going to do Mr. President...now that you have inherited a DEPRESSION?

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Old 12-12-2008, 02:19 PM   #4
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Default Re: GM will temporarily close 21 plants

Sounds exactly like what GM should do.

They should close up shop across the board for a couple weeks. And I'm talking absolutely every plant and office shut down. Everyone except the highest upper level execs at the world headquarters who need to stay to work out how to keep the company afloat. That in turn effectively shuts down practically all GM supplier plants and maybe even some of the plants that supply them. Now we're talking on the magnitude of possibly tens of millions of US Auto Workers (blue and white collar) that will be laid off. And at the last count I heard, we had somewhere around 300 million ppl in the US, so that could be near 1/10th the total US population (as in all ages, not just the workforce) that would be laid off. Just imagine the unemployment rate. The US economy will then take a hard hit (we're getting close to Depression Era now) as consumer spending in the MidWest will plummit, and Congress will see what "The End" will really mean for us.

And that's just GM. Now factor in Chrysler and Ford. I'm sure even those Southern-State Senators that killed the bailout would even reconsider after that....

That being said, I strongly disagree with the gov't "bailing" out companies. As that is not how a capitalist economy works. That's how a socialist economy would work. But...desperate times call for desperate measures. And even though this has been years in the making, it WILL eventually effect us all. All 300 or so million of us.

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Old 12-12-2008, 02:43 PM   #5
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Default Re: GM will temporarily close 21 plants

The shut-down doesn't really have much of a effect on anything outside of supplies and suppliers. UAW members are still paid through the shut-downs (I believe the non-union guys are paid as well).

So all it does is keep them from overproducing cars really.

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Old 12-12-2008, 02:52 PM   #6
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Default Re: GM will temporarily close 21 plants

Quote:
Originally Posted by ToledoEngineer View Post
Sounds exactly like what GM should do.

They should close up shop across the board for a couple weeks. And I'm talking absolutely every plant and office shut down. Everyone except the highest upper level execs at the world headquarters who need to stay to work out how to keep the company afloat. That in turn effectively shuts down practically all GM supplier plants and maybe even some of the plants that supply them. Now we're talking on the magnitude of possibly tens of millions of US Auto Workers (blue and white collar) that will be laid off. And at the last count I heard, we had somewhere around 300 million ppl in the US, so that could be near 1/10th the total US population (as in all ages, not just the workforce) that would be laid off. Just imagine the unemployment rate. The US economy will then take a hard hit (we're getting close to Depression Era now) as consumer spending in the MidWest will plummit, and Congress will see what "The End" will really mean for us.

And that's just GM. Now factor in Chrysler and Ford. I'm sure even those Southern-State Senators that killed the bailout would even reconsider after that....

That being said, I strongly disagree with the gov't "bailing" out companies. As that is not how a capitalist economy works. That's how a socialist economy would work. But...desperate times call for desperate measures. And even though this has been years in the making, it WILL eventually effect us all. All 300 or so million of us.
We aren't close to Depression Era unemployment levels yet. Yet.

And, I don't have a problem with loaning GM money to get by.Nope. I do, however, have a problem with these banks that recieved their bailout monies and who aren't putting it back into the economy with increased credit but instead are buying up smaller banks to fatten their portfolio. Where's the Wall Street Czar? GM and Chrysler have to jump through hoops and the fat cats on Wall Street are getting money even if they didn't ask for any. Where's the fairness in that? We lose GM, we're toast. The world markets are faltering over our inability to form a solution for TB3...what do we think is going to happen when GM and Chrysler fold?

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