It's hardly unexpected given recent gloomy sales numbers, but General Motors announced today that they will be cutting shifts at several North American plants. Unfortunately, nearly 2,000 workers will lose their jobs in the process as GM eliminates its third shift to slow production and ease the backlog of vehicles sitting on dealer lots. The affected plants are Orion, Michigan; Oshawa, Ontario; and Lordstown, Ohio (these plants manufacture the Chevrolet Malibu, Pontiac G6, Chevrolet Impala, Chevrolet Cobalt, and Pontiac G5). The news comes on top of the previously announced idling of the Fairfax assembly plant in Kansas City mid-January. That plant makes the Saturn Aura and also the Chevrolet Malibu.
A 15-percent drop in Sonata sales since the beginning of 2008 is one reason Hyundai will idle its Alabama plant for 11 days between now and the end of the year (the near-2-percent drop in Santa Fe sales didn't help either). According to Hyundai Motor Company officials, the current sales slump and future sales projections of both models warrant the assembly slowdown. To limit the financial impact on the plant's workers, Hyundai will schedule the days on Fridays, and around the Thanksgiving and Christmas holidays.