GM plant closings and effects on Michigan Railroads

Anything pertaining to railfanning in Michigan.
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Scooterb
Sofa King Grumpy
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GM plant closings and effects on Michigan Railroads

Unread post by Scooterb »

This from another board

CN will loose:
St. Catharines On.- 2008
Oshawa On.- 2008
Lansing Mi.- 2006
Flint Mi. (Dept. 56)- 2008

CSX will loose:
Spring Hill Tn.- 2006

NS will loose:
Doraville Ga.- 2006
Ypsilinti Mi.- 2007
Moraine Oh. (will only loose 3rd shift assembly)-2006 car load decline

My question what Lansing plant? Is it the one already closing?

This isnt good for Michigan.

Also heard good chance of GM going bankrupt.

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patrick
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Unread post by patrick »

NEWS said tonight that they closed the two lansing plants and the flint plant effective today.

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Scooterb
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Unread post by Scooterb »

From Lansing State Journal
Area union leaders said Monday they received just 10 minutes' notice that one of their General Motors Corp. parts factories was targeted for closure next year.

"That made me mad, of course," said Chris Sherwood, president of United Auto Workers Local 652, which represents about 1,000 workers at a GM metal center in Ingham County's Lansing Township. "We're shocked. We thought we had a pass on this round. But we didn't."

GM announced plans to cut 30,000 manufacturing jobs and close nine North American assembly, stamping and powertrain facilities by 2008 as part of an effort to return the company to profitability.

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Rick Wagoner, chairman and CEO of the world's largest automaker, announced the restructuring plan, which will cut about 9 percent of its global work force, during a speech to employees from GM's Detroit headquarters.

Wagoner said GM also will close three service and parts operations facilities as part of the manufacturing cuts.

About 1,400 of the jobs expected to be lost are in the Lansing area, where GM has been a dominant presence for decades. GM's Craft Centre, which has an estimated 400 workers building the Chevrolet SSR, is expected to close in mid-2006.

"We thought we'd be in line for another specialty product down the line," said UAW Local 1618 President Dan Fairbanks, who got news of the Craft Centre's closing at 7:30 a.m. Monday. "We've always been a plant that survived."

The center's 350 hourly workers currently are on six weeks' layoff because the plant was producing the high-end, two-seater trucks faster than GM was selling them. They'll return to work on Dec. 5 and expect to finish out the 2006 model year this summer.

At that point, the beige plant with the huge poster of a yellow SSR convertible plastered on the side will close. The place GM turned to for specialty models such as the Buick Reatta, GM's first mass-produced electric car, and various convertibles will be shuttered.

"There is a sadness because this work force, this family you've been with so long no longer will be at the same place," said Fairbanks, 51. Even if Craft Centre workers get jobs at other GM plants nearby, many are still anxious about what they'll be doing and how long they may have to wait until they get hired elsewhere.

Michigan also will be affected by the closing of a parts processing operation in Ypsilanti in 2007 and an engine facility in Flint that makes the 3800-series engine in 2008.

Bill Jordan is president of UAW Local 599, which represents workers at the Flint North facility. He said many of the 660 workers who make the 3800-series engine have worked there for decades.

He said the news was expected, since workers knew that the engine was being phased out. But he said GM's plans reflect broader problems facing the domestic auto industry, which needs help from lawmakers in Washington.

"General Motors has to stay in business. I want them to stay in business," he said. "They've got their hands full, because we're not on a level field with other countries and other companies in this country."

Factories in Canada and several states - including Georgia, Missouri, Ohio, Oklahoma, Pennsylvania and Tennessee - also were included in Monday's restructuring announcement.

The Lansing area now has an estimated 6,500 GM jobs, about a third as many as during employment peaks in the 1970s and 1980s. But GM is building up a parts and vehicle assembly operation in nearby Delta Township, where some of the workers affected in the upcoming closings might find work. The automaker also opened a Cadillac assembly factory near downtown Lansing in recent years.

Union leaders expect a possible early retirement program might help clear the path for hundreds of lower-seniority Lansing-area workers to remain employed at GM factories in the region. But the jobs will be lost from the economy, which has suffered along with Michigan's loss of manufacturing positions in recent years.

"Hopefully, some of these people will be able to come work at our plant," said Richard McDaniel, an employee at GM's new Delta Township complex near Lansing.

Union leaders said they have been not been told exactly when the metal stamping factory would be closed, but have heard it may be late in 2006.

The announcement is surprising in part because of the Lansing region's reputation for good relations between GM management and the UAW. The metal center also is among GM's highest-rated for efficiency and quality, union leaders said.

But the factory feeds some of the GM vehicle assembly plants targeted for closing, so it may have been the trickle-down effect that caught the Lansing factory, union leaders said.

"We can't understand it," said Art Baker, chairman of UAW Local 652. "We have one of General Motors' best plants."

http://www.lsj.com/apps/pbcs.dll/frontpage

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