Well, here we go, several communities are on edge this morning as we await the press conference on the latest round of plant closings. The press conference is at 7:30 Central time.

Any rumors of where?

Could be good for the border area. Plus better jobs in Mexico keeps more Mexican workers home and the border region safer. As soon as Mexico's economy is so strong that they do not need to risk their lives for jobs up north, then only terrorists will be crossing the border illegally.

Piecemeal is hitting the newswires now

 

-9 assembly plants closed, 3 service and one parts...

-30K manufacturing jobs cut by 08

-capacity to be cut 1 million vehicles per year by 08

-most cuts to be through attrition/early retirees

-"significant" charge expected to pay for revamp

 

Of course GM is up almost 3% on instinet trading.

Some plant closings...

 

-OK City by early 06

-Lansing by mid 06

-Spring Hill TN by end of 06

-Doraville GA in 08

 

Shifts are being cut at a couple of other plants...

Piecemeal is hitting the newswires now

 

-9 assembly plants closed, 3 service and one parts...

-30K manufacturing jobs cut by 08

-capacity to be cut 1 million vehicles per year by 08

-most cuts to be through attrition/early retirees

-"significant" charge expected to pay for revamp

 

Of course GM is up almost 3% on instinet trading.

That disgusts me. Welcome to Amerika.

Some plant closings...

 

-OK City by early 06

-Lansing by mid 06

-Spring Hill TN by end of 06

-Doraville GA in 08

 

Shifts are being cut at a couple of other plants...

 

Are they cutting any over seas plants? Are they cutting back any outsourcing?

They are closing a plant in Ontario. Oh wait, you said overseas.

 

This will affect their suppliers as well.

Any complaints can be directed to their customer service lines....

 

...which, of course, are most likely manned by CS reps in India....

This is further proof that American car companies are becoming less American by the day. Its really sad that companies like Toyota and Honda are adding jobs here in America while "American" car companies move them overseas or shut em down outright.

 

So much for "Buy American"

 

 

:rolly

They are closing a plant in Ontario.  Oh wait, you said overseas. 

 

This will affect their suppliers as well.

 

The ripple is as scary as the main plant.

 

Everyone in the area is effected. Suppliers, trucking firms, the local restaurant, the bank, the hardware store, and it goes on and on and on

 

Likewise, when they ramp up elsewhere, the ripple is even greater. Add new housing starts and everything moving to the new town. That is why we have many economic development agencies all over here trying to attract (re:steal) businesses from other areas and move them here or to Reynosa, Tamps. Mexico.

I remember listening to Jesse Jackson when he was running for President a couple decades ago say (paraphrasing)

 

the threat to American workers is not foreign companies competing here, it is American companies moving their jobs to foreign countries.

 

This was during the foreign car invasion and other "threats" to our workers. It proved to be a very true statement.

I remember listening to Jesse Jackson when he was running for President a couple decades ago say (paraphrasing)

 

the threat to American workers is not foreign companies competing here, it is American companies moving their jobs to foreign countries.

 

This was during the foreign car invasion and other "threats" to our workers. It proved to be a very true statement.

 

 

Funny how he could call that so well. Of course his solution of making them pay higher corporate taxes would just open the door a little wider for them to leave.

Closing loopholes works much better.

Funny how he could call that so well.  Of course his solution of making them pay higher corporate taxes would just open the door a little wider for them to leave.

 

What's that about a blind dog finding an acorn once in a while?

 

It is a very tough issue. What good is manufacturing something in the US that costs more and people won't buy it?

What's that about a blind dog finding an acorn once in a while?

 

It is a very tough issue. What good is manufacturing something in the US that costs more and people won't buy it?

 

 

Thats another thing that makes me laugh about people who complain the most about American jobs leaving and the employment practices of certain countries.

 

They are all high and mighty about railing about corporations moving jobs overseas but if you bring all the jobs back here and jack up the price of a standard TV set to 800 bucks and make a DVD player cost 5-600 we'll see how long that lasts.

 

 

You can't have cheap goods without cheap labor and the sooner people realize its a give and take proposition the better.

I will say though, that GM royally f***ed up. They bet the farm on big SUV's and they got roasted when the price of fuel went through the roof the last 2 years and people just stopped buying them. Now they're playing a mean game of catchup with foregin automakers and losing a bunch of marketshare as a result.

What's that about a blind dog finding an acorn once in a while?

 

It is a very tough issue. What good is manufacturing something in the US that costs more and people won't buy it?

 

If that were true, we'd all be driving Kias.

Thats another thing that makes me laugh about people who complain the most about American jobs leaving and the employment practices of certain countries. 

 

They are all high and mighty about railing about corporations moving jobs overseas but if you bring all the jobs back here and jack up the price of a standard TV set to 800 bucks and make a DVD player cost 5-600 we'll see how long that lasts.

You can't have cheap goods without cheap labor and the sooner people realize its a give and take proposition the better.

 

That is partially correct, but if you go through a modern manufacturing plant, you will see fewer and fewer people. The cost of labor is a much smaller percentage than generations ago.

 

What drives some companies over seas are lax labor laws, easier environmental regulations, toe hold in other markets, looser intellectual property rights, and yes, people willing to work cheaper.

That is partially correct, but if you go through a modern manufacturing plant, you will see fewer and fewer people. The cost of labor is a much smaller percentage than generations ago.

 

What drives some companies over seas are lax labor laws, easier environmental regulations, toe hold in other markets, looser intellectual property rights, and yes, people willing to work cheaper.

 

 

I guess the best way to say it is to talk about the total cost of doing business.

I guess the best way to say it is to talk about the total cost of doing business.

 

Exactly. And how America can balance that and pay a wage that allows the individual to live in some decent housing and have a decent standard of living when 2/3 rds of the world population does not have running water in their homes and would see $2 per hour as a huge step up.

What's that about a blind dog finding an acorn once in a while?

 

It is a very tough issue. What good is manufacturing something in the US that costs more and people won't buy it?

You're exactly right on this one. We are too greedy for our own good.

Exactly. And how America can balance that and pay a wage that allows the individual to live in some decent housing and have a decent standard of living when 2/3 rds of the world population does not have running water in their homes and would see $2 per hour as a huge step up.

 

 

Thats why you have guys like Sen Schumer calling for tarriffs and protectionist legislation ( so much so that he was ridiculed as Sen "Smoot" Schumer on CNBC ). Of course we all know what happened the last time we tried that.

 

 

Honestly I don't know where the happy medium is here but a lot of people are going to be made UN-happy in finding it.

You could see this coming after the fallout with Delphi. Because of union regulations, it was easier for GM to continue to make cars at plants that they didnt need, than it would have been to simply close those plants and not make those cars. Now that the unions are starting to lose ground on their ridiculous benefits coverage and other issues, GM now can shut those plants. IMO, the autoworkers union had benefits they had no right having in today's marketplace.

 

On the flipside, most of GM's problems stem from simply not having any cars people wanted. They did put too many eggs in the SUV basket, but a bigger problem(and this goes for all the big 3) was that nobody wanted anything those manufacturers put out other than pickups and SUV's. They continue to shoot themselves in the foot as well. Take the Solstice -- the hottest car out there right now, to get one you have to be on a waiting list a mile long. GM finally makes a car that people are clamoring for, have extra space in various plants to make them, and instead completely under-estimate demand and can only put out 30,000? or so a year, when they could easily have doubled it.

 

Daimler-Chrysler's the only one that gets it, and they also have a huge interest in the SmartCar company, which i believe is already selling in California and Florida.

My dad is an engineer for the auto department of motorola........needless to say he's been on edge for the past few years.