DETROIT, June 19, 2009

GM To Recall 900 Workers To Mich. Plant

Company To Restore Second Shift At Factory Because Of Increased Sales

  •  (AP Photo/Paul Sancya)

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(AP)  A bright spot has surfaced in a sea of negative auto sales statistics for General Motors Corp.

The company said Friday it will recall 900 workers and restore the second shift at a factory near Lansing, Mich., because of increased sales of its Buick Enclave, Saturn Outlook and GMC Acadia large crossover vehicles.

Spokeswoman Sherrie Childers Arb said the laid-off workers will come back to the plant in Delta Township starting Aug. 24, with the second shift continuing indefinitely.

"It's an uptick in market demand," she said.

The company also says it has canceled plans to shut down the Spring Hill, Tenn., plant for an additional week in August because of increased demand for the Chevrolet Traverse crossover.

All the large crossovers seat eight and are built on car underpinnings so they are lighter and more efficient than sport utility vehicles.

At the end of May, GM had only a 46-day supply of the Enclave, 53 days worth of the Outlook, and a 59-day supply of the Acadia, according to Ward's AutoInfoBank. It had a 104-day supply of the Traverse, the top seller of the four vehicles.

Industry analysts say a 60-day supply is optimal to provide enough of a selection, but not so much that large incentives will be needed to move vehicles.

Enclave sales were down 9 percent for the first five months of the year and Acadia sales were off 33 percent, but the U.S. auto market as a whole was down 37 percent for the same period.

All four crossovers were designed to catch buyers fleeing from sport utility vehicles with better handling and fuel economy than the truck-based SUVs.

The Enclave, for instance, gets up to 17 miles per gallon in the city and 24 on the highway, compared with a gas-powered Chevrolet Suburban SUV, which gets 14 in the city and 20 on the road.

The added shift at the Lansing Delta Township plant is good news for U.S. GM workers, thousands of whom have been laid off for up to 13 weeks this spring and summer because the company temporarily shuttered their factories due to the nationwide auto sales slump.

Overall, GM sales are down 42 percent so far this year.

GM last week announced that it would extend some of the closures further into the summer due to slumping demand for some vehicles.

© MMIX, The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
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by Newster1 June 20, 2009 9:45 PM EDT
Workers are in fact REWARDED for finding flaws before the car gets to the consumer. Interesting. No?"

Yes, but when you figure Detroit had the dumb sheeple brainwashed into a mindset that you NEED to replace these $25,000 machines every 4-5 years to keep up with the latest STYLES, by then most people have traded them in or sold them to some other sap, by then the paper thin body and cheap paint is rusting thru and peeling, so it's junk anyway.
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by delfmast June 20, 2009 1:54 PM EDT
WastingtonDC: With oil at $70 plus yesterday, and gasoline prices rising every day for some 50 days, tens of thousands of petro fired vehicles built on truck style frames will begin appearing like magic, abandoned on the dealer's lot that sold them to working people, at outrageous prices, with payments that only a UAW or CAW car assembler, paid more than a Nuclear Engineer, or PHD Physicist can earn, could afford. Eighty million working North Americans depend on light medium and heavy truck based vehicles as they build, transport, import, export, and service the US and Canadian GDP. They must have the mild to fully hybrid larger vehicles that Hino, and Volvo are selling, right now, to reduce their imported fuel use by 25% for the mild hybrids, and eliminate fuels from outside NAFTA, for the fully hybrid bio-diesel or CNG fueled vehicles that will spell energy independence for North America, whether the brands are foreign, Hino/Volvo, or those absolutely necessary light medium and heavy hybrids are made by the same UAW/CAW workers who made my first million mile heavy, a 475HP Detroit 8V92, that gets just 3.5 MPG in a 1985 International 9370 Car Hauler, still on the road, after I sold it, at 1.25 million miles, with a newly rebuilt engine. Imagine the advantage even a mild 25% Hino Hybrid package, of drive motors, that serve as regenerative braking systems could provide, to heavy truck owners. By running electric some of the time, and recapturing some of the energy used in dragging those 40 tons to the top of the Grapevine, on the 5, going north in California, as the truck plunges down the northbound downhill run, with the motor acting as a generator, and slowing the truck, to safe speeds. At the diesel prices extant when oil was over $100, that would save one forth of a thousand or more dollars worth of fuel, each and every day that a team of drivers keep it on the road. That level of imported fuel savings represents the low hanging fruit of fuel conservation, to drive North American energy independence, and it moves some $200 to $500 to the bottom line, every day that a mild to total hybrid is on the highway. If GE will build a factory motor/generator, based on the Baldor motor/braking generator, that a private conversion shop has designed, to drive and brake light to medium trucks, UAW and CAW workers could build million mile capable mild to total hybrids that Plug IN to the grid for charging their batteries, and operate some, or all of their day's run, on electricity purchased from the grid, at off peak electric rates. Then, while the driver team sleeps, or rests, during peak electric rate hours, the truck operate as a Plug OUT, generator, providing electricity to the grid, at peak electric hour rates, to help pay for the advanced battery systems, and conversion to a hybrid system. With permanent free trade NAFTA title and registration, and truck and trailer license plates, at only $50, for any new, used, or converted hybrid gaining 25% or more fuel conservation from hybrid operation, all issued by the national governments, throughout NAFTA, owners of hybrids would enjoy a $5000 to $15,000 annual subsidy, simply by federal preemption of all licensing, titling, and registration fees, taxes, and sales taxes on non-imported fuel operation, of any hybrid vehicles. Further exemption, of all hybrid vehicles, from entering any weight or inspection station that requires slowing the vehicles, or lane changes to reach the highway speed weight detectors, would provide incentives for hybrid owners to agree to a nationwide 55 MPH speed limit, for their exempted vehicles, cutting our 50,000 some North American highway traffic death tolls, by far more than the thousands of lives saved during the shortlived national 55 MPH limits imposed during the earlier Arab Fuel embargo. That attack on our sovereignty served to warn any sapient observer about dependence on enemy terror financier regimes for our fuel, but our governments were not sapient, then, or now, apparently.
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by debinok1 June 20, 2009 1:15 PM EDT
Thats it, Americans have completely lost their freaking minds. Gas prices are still climbing and people are still buying gas guzzlers. Amazing just amazing, no common sense to be found.
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by azure13 June 20, 2009 2:16 PM EDT
Well, who wants to pack their family into one of those ugly litte Prius sardine cans?
by sjc_1 June 20, 2009 2:51 PM EDT
These SUVs weigh more than 4700 pounds and get 17 mpg which is more like 16 mpg in the real world. They cost over $30,000 and have third row seats. Since most of these will probably run with 1-2 people in them, they represent twice the fuel consumption of what we should be driving. So much for common sense.
by debinok1 June 20, 2009 7:00 PM EDT
by azure13 June 20, 2009 11:16 AM PDT
Well, who wants to pack their family into one of those ugly litte Prius sardine cans?


I do not drive a sardine can Prius. I still get better gas mileage in a midsize car than this. My Lumina gets 28 city 32 hwy, even when comparing their best mileage to my worst, my car still blows theirs away. My car also seats 5. So why the push for these super huge vehicles if not to cover for the itty bitty egos.
by sjc_1 June 21, 2009 11:51 PM EDT
A Ford Escape hybrid gets 30 mpg and has plenty of room. Why use twice as much fuel going to get a few bags of groceries. Drive a gas guzzler 360 days a year so that you can tow the boat 5 days? That is just wrong to endanger the country and cause harm to others by burning twice the fuel as other people.
by gravyboat3000 June 20, 2009 12:19 PM EDT
by whitemale08 June 19, 2009 8:10 PM PDT
Of course, GM can start recalling workers since now they've been stripped of their benefits, pension funds wiped out, health-care eliminated.

These workers are ready use their serf-labor to export cars to Europe so Wall Street/City of London can make a profit.

Globalization = Serfdom and Neo-Fuedalism
_____

"Neo-Fuedalism"?

LMAO

Only a right wing nut could look at the world in such a manner.

And whre is your proof that these workers aren't getting any benefits?

Liar.
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by centralcacoast June 20, 2009 12:03 PM EDT
I was told that at "U.S made" auto plants, when a worker spots a defect, the car continues through the assembly line, and waits to be fixed later. At Toyota (in the U.S.) if a defect is spotted, a worker stops the line and it is fixed immediately. Workers are in fact REWARDED for finding flaws before the car gets to the consumer. Interesting. No?
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by lfagius June 20, 2009 7:14 PM EDT
"U.S made" auto plants, when a worker spots a defect, they stop the line as well. Check your facts, or please don't post hear-say.
by ENGINEERMKIKE June 21, 2009 3:57 PM EDT
Actually, every GM assembly line has the same system. Production is driven to be built or repaired min place which produces the highest quality vehicle. All manufacturerers in the us, foreign and domestic use a similar system since all are graded by JD Powers and others for cost comparisons.
by robh84 June 20, 2009 9:58 AM EDT
The American automotive industry has no one to blame for its current state but itself. Americans like stability. Somewhere along the line, the auto industry forgot that. Instead of making improvements every year to existing nameplates such as Taurus, Bonneville, Delta 88, and so on. We were forced to choose from new, and unproven models every calendar year such as The Ford 500, The Pontiac G8, Aurora and so on. How many times has Chevrolet renamed the Lumina (oops I mean Monte Carlo) or is that the "New Malibu"?

Meanwhile, Japanese automakers were improving their existing nameplates every year. The Honda Accord has been around 30 plus years now. The Nissan Maxima, 20 plus years. The Toyota Corolla, FOREVER. The point is, they took advantage of the US automakers need for renaming everything, by marketing stability. Would you rather buy a proven name, or one that will only be around one or two model years?

Finally, isn't it ironic how US automakers moved much of it's manufactoring facilities to Mexico, and Canada to avoid "high priced" American labor. And when they did, the Japanese opened facilities here in the US using that same "high priced" labor. Now the US automakers are folding like cheap suits, and the Japanese are enjoying record profits. I guess you get what you pay for.
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by lfagius June 20, 2009 7:12 PM EDT
You make it sound like the Japanese automakers keep improving the same car. They improve what they sell, but the cars they sell are all new from the ground up every four or five years. You have a point that Detroit let quality slip, but you ignore the quality problems of the Japanese, many stemming from, in their own words, moving too fast from concept to production. These problems includes every Toyota and Lexus model from the late 1990'5 to about 2005 having some risk of engine seizure from oil sludge (look up the words "Toyota Engine Sludge" in Google or Yahoo, and see the number of hits). 2005 through 2008 Toyota Camry and Avalon transmission shifting problems. Honda's with lighting and electrical system problems. Honda CRX's with leaking oils filters and resulting engine fires. Honda Accords spanning five to six models years with scores of brake system complaints. Toyota Tundra pickups with broken camshafts, truck beds shaking violently over the slightest highway defects. Toyota Tundra rust problems on bumpers and lug nuts. Nissan Titan's, Armada's, and Infinity QX56 brake problems. Nissan Maxima's with engine computer problems, Nissan Altima's with air bag problems (and a nice recall that includes 140,000 Nissan Altima cars from the 2007-2008 model years, and also involves 2007-2008 model years of the Infiniti EX35, G35 Sedan, G37 and the Nissan 350Z, Murano and Rogue.)

For the record, all of the Japanese car makers are also losing money. Last quarter, Toyota booked larger losses than General Motors, to the tune of $7 billion. $77 million a day. $5.5 billion last year. see http://www.businessinsider.com/toyota-doubles-loss-forecast-gets-its-rating-cut-2009-5

Honda and Nissan are also losing billions. Check you facts before you post crap.
by robh84 June 23, 2009 1:51 AM EDT
Based on 2006, 2007, and 2008 figures. My facts are straight. My point was OUR US automotive companies cut their own throats. Regardless of problems with any car, US or Japanese. The Japanese marketed stability and not NEW and IMPROVED. Thats why overall, they have lost less money than their US counterparts, even in this uncertain economy.

I'm not against the US automakers. I personally own three Fords. The problem with them, like many other industries, is poor management. Generation X'ers all want the fast dollar. They don't believe in earning it the way our parents did. By delivering American Quality. They believe in making it as cheaply as possible in order to make bigger profits. Screw quality. If it breaks, they want us to buy a "NEW & IMPROVED" model.
by WayAround June 20, 2009 8:53 AM EDT
From Bloomberg (Saturday, June 20)

"Banks in Georgia, North Carolina and Kansas with total assets of $1.5 billion were closed yesterday, bringing this year?s tally of failures in the U.S. to 40."
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by deadleg2 June 20, 2009 12:18 AM EDT
I can absolutely understand where the UAW workers who spent their lives in Detroit etc, for 40 years on the line BUT better to have a job with lower benefits and pay and the rest of the losses that the workers have indeed suffered through than no job at all these days. It is an unfortunate fact of life that through lower wages and other costs the Japanese auto industry started catching on in 1968 with the Toyota Corona. I know, I drove one. People wanted what the Japanese built--a decent quality car for much less than an equivalent domestic car--mine was $1850.00 out the door very nicely equipped. It was all I could afford. The big three basically ignored the QUALITY small car market and lower price points and the rest is history. If Detroit is going to survive, the reality is they will have to compete with the global marketplace. Tariffs on imports wont work, they'll just do the same to us, we have to build a better car than they do, and be able to be price competitive or we might as well just shut all the doors today and stop the publicly paid for hemorrhaging the carmakers are experiencing once and for all. Compete or close, there are no other options.
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by tothestars2 June 19, 2009 11:23 PM EDT
well that is good news
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by whitemale08 June 19, 2009 11:10 PM EDT
Of course, GM can start recalling workers since now they've been stripped of their benefits, pension funds wiped out, health-care eliminated.

These workers are ready use their serf-labor to export cars to Europe so Wall Street/City of London can make a profit.

Globalization = Serfdom and Neo-Fuedalism
Reply to this comment
by lfagius June 20, 2009 6:51 PM EDT
They still have their heath care benefits, their pensions remain intact, and they retained most of their benefits, giving up a few fringe benefits. They're being recalled because sales of GM's 6 passenger/7 passenger crossovers are improving.
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