Jalopnik: g. richard wagoner

WSJ: General Motors To Cut 15% Of Salaried Workforce By November

Andrew Stoy — Thu, 31 Jul 2008 10:00:00 EDT

The Wall Street Journal is reporting GM plans to remove another 5,000 salaried workers from payrolls by November as part of its re-restructuring announced earlier this month. The cuts would amount to about 15% of GM's North American white-collar staff, continuing what has become a 40% salaried headcount reduction since 2000. News of the job losses comes as GM is preparing analysts and the media to expect a large second-quarter loss when the company reports earnings tomorrow. Rather than layoffs, GM hopes to encourage staffers to leave with early retirement packages and cash incentives. Hey, it works for the cars, so why not try it on the employees? [WSJ (sub. req.)]

GM Says Brands Not Under Strategic Review, Just Jobs

Andrew Stoy — Tue, 08 Jul 2008 08:40:00 EDT

On the heels of yesterday's WSJ story that GM was planning to eliminate thousands more jobs and potentially cut another brand, GM spokespeople are denying at least half the claims. Further brands are, supposedly, not under strategic review. Job cuts? Well...yeah, those are probably still going to happen. Our snap analysis after the jump.

Jalopnik Snap Judgement: The key is that no brands are under strategic review at this time. Everything depends on July sales numbers. We expect if sales are even lower than June, the General will change its tune faster than the reels on a gas pump. GM spokespeople on the other hand, will more than likely continue to sing off-key. Stay tuned. [Automotive News (Sub. Req.)]

GM To Get More Layoffs, Lose A Brand

Andrew Stoy — Mon, 07 Jul 2008 08:30:00 EDT

According to the WSJ, GM's early-August board meeting is likely to result in layoffs affecting both blue- and white-collar workforces. They're also reporting GM is seriously exploring sloughing off another brand, either by outright closure or by placing it up for sale, a-la Hummer's "strategic review." We've put together a quick brand-viability ~~scorecard~~ breakdown after the jump for those of you playing along at home.

The Journal claims GM has already taken Chevrolet and Cadillac off the table, considering them core to the company. But what about the rest of the lineup?

Saturn: GM's low-price, non-haggle, donut-loving import-fighter brand has reportedly never made a profit. Even with products like the Aura and Astra, it's having trouble making any inroads with consumers despite a loyal fan base. Coupled with the fact GM has reportedly stopped development work on the next-gen Aura, we think Saturn's got a good chance of getting to know Geo in the division dumpster.

Saab: The storied Swedish born-from-jets brand has either been vastly improved or pathetically watered-down during GM's ownership, depending upon whom you talk to. Either way, with only about 35,000 sales per year in the U.S. — about what the Accord sells each month — Saab is probably due for an ownership change.

Buick: If it weren't for Buick's gangbusters Chinese sales and the strong-selling Enclave, we'd be more concerned about the tri-shield brand. Would it go Asian-market only? Possibly, but Buick's made it out alive before, and we think it'll do so again. There are just too many old people out there to sell to.

GMC: GM's truck brand sells rebadged Chevrolets almost exclusively, and Acadia is reportedly already a goner. But the division has a strong brand presence among site foremen who enjoy driving the same vehicle their workers drive, but at a 10% premium. Will that be enough? We give GMC a 50/50 shot.

Pontiac: The performance division has Solstice, the G8, and the reasonably strong-selling G6. Pontiac has always been an image brand as well as a volume brand; is G8 enough to bring that performance image back? We're not so sure...but we don't think Pontiac is going away any time soon.

So, who's following Hummer (and probably about 25,000 current GM employees) out the door? Give us your thoughts. [WSJ]

This Is Our Country, This Is Our Truck...And It Will Be For Quite Some Time

Andrew Stoy — Thu, 19 Jun 2008 09:20:00 EDT

General Motors is planning to extend the current product cycle on its full-size trucks and SUVs, the Wall Street Journal reported Thursday. New designs had been expected to come in time for the 2012 model year. However GM spokesperson Tom Wilkinson told the Journal that GM was "looking at the whole product portfolio" in an effort to bring more fuel-efficient vehicles to the U.S. market. While the change in product planning should free up much-needed R&D funds, there's little doubt the lukewarm launch of the latest Toyota Tundra and the gas prices-induced slow-motion 2009 Dodge Ram and 2009 Ford F-150 launch train-wrecks influenced top brass at the Ren Cen.

The report also mentioned cancellation of a future Hummer product and the potential shuttering of a brand, though no concrete evidence has emerged to clarify whether the Hummer product cancellation and brand closure were one in the same (Hummer) or whether Hummer might be allowed to die on the vine while another weak brand, such as Buick, was closed outright or moved off-shore. [Automotive News (Sub. Req.)]

Hummer Up For Sale, Four Truck Plants Gone?

Andrew Stoy — Tue, 03 Jun 2008 08:53:21 EDT

The times, they are a changin', and this week GM Chairman and Chieftain Rick Wagoner seems to have noticed. Wagoner announced a "strategic review of our Hummer brand," yesterday. Translation: "Anyone want to buy Hummer? Anyone? C'mon...cheap! Cerberus, I'm lookin' at you." Also included in the statement was news that four truck plants will be making the ultimate sacrifice: Moraine, Ohio; Janesville, Wisconsin; Toluca, Mexico; and Oshawa, Ontario.

The news isn't all doom and gloom, however: Third shifts are coming to the Lake Orion plant that builds G6 and Malibu and to the Lordstown plant spewing Cobalt and G5. In other words, big vehicles out, little econoboxes in. Next up: Chrysler announces new Lean Burn 300C.