Breaking: GM Oshawa closing all operations

[OVERKILL]

https://www.ctvnews.ca/canada/gm-cl...gucid=&_gup=twitter&_gsc=IsqtlBK

Quote

Numerous sources have told CTV Toronto that General Motors is planning to close all operations in Oshawa, Ont., affecting thousands of high-paying jobs. The announcement is expected to be made on Monday, in the city of about 159,000 people located roughly 60 kilometres east of Toronto. Sources said they believe the Oshawa closures are part of a global restructuring. There are currently about 2,500 union positions and roughly 300 salaried employees in the Oshawa area. GM employs many more in Ingersoll, Markham and St. Catharines. It's unclear if those positions are affected. Former Oshawa Mayor John Henry told CTV Toronto's Miranda Anthistle that he's "hoping it's just a rumour" because GM is a "huge economic engine to the community." At one point, GM employed 40,000 workers in the Oshawa area.

Of course this doesn't factor in the impact on all of the feeder industries like Ventra Plastics and the like that supply GM who will be dealt a massive blow. Apparently GM's new slogan for Chevrolet is "The Heartbreak of Ontario"

 

[Danno]

The hollowing out of Ontario manufacturing jobs continues.... The high cost of electricity is probably just one of many reasons Ontario has become uncompetitive in the world market place.

 

[53' Stude]

GM doesn't mean General Motors anymore

 

[OVERKILL]

Originally Posted by Danno

The hollowing out of Ontario manufacturing jobs continues.... The high cost of electricity is probably just one of many reasons Ontario has become uncompetitive in the world market place.

This decision was likely aided, perhaps significantly, by the damage done by McGuinty and Wynne, with hydro costs being one of the big FUBAR's of those administrations. It follows on the heels of Caterpillar and other large industry exits.

 

[Snagglefoot]

Not good. What models does Oshawa currently assemble?

 

[OVERKILL]

Originally Posted by Snagglefoot

Not good. What models does Oshawa currently assemble?

According to GM:

Originally Posted by GM

The last Equinox rolled off the line on July 7th, 2017 subsequently ending the use of the Consolidated line, and making way for the Truck Line. On February 12th, just 7 months later, production of the 2018 Light Duty GMC Sierra and Chevrolet Silverado double cab pick-up trucks began. This is all part of an innovative shuttle program with our Fort Wayne body shop where panels are stamped for the current generation trucks, then sent to Oshawa to paint and fully assemble the truck. This makes Oshawa Assembly capable of building vehicles from every brand in the portfolio, and the only assembly plant in North America capable of building both cars and trucks in the same plant. Oshawa Assembly is the most decorated plant with 29 J.D. Power awards, a proven track record of great quality and customer satisfaction. In 2014 Oshawa was recognized as the most complex facility in North America building several models and options on the Flex Line while also running a Consolidated Line within one plant. Products We Build Flex Line Cadillac XTS Chevrolet Impala Truck Line Light/Heavy Duty Chevrolet Silverado Light/Heavy Duty GMC Sierra

 

[64bawagon]

I think they have been waiting to drop the hammer on the Impala for a while now. I dont see them stopping truck production since they plan on producing that model through the end of spring 2019.

 

[OVERKILL]

Originally Posted by 64bawagon

I think they have been waiting to drop the hammer on the Impala for a while now. I dont see them stopping truck production since they plan on producing that model through the end of spring 2019.

I'm hoping it just ends up being bogus rumour, there are a ton of local folk that work there as well as local feeder plants.

 

[KGMtech]

Scary. My company doesn't supply anything to GM Oshawa, but the ripple effect will be huge for other suppliers that we do share: steel makers, parts suppliers, paint suppliers, tooling and fixture builders.

 

[oilpsi2high]

Current products include the Buick Regal, 10th gen Chevrolet Impala, Cadillac XTS sedans, (including the Cadillac PRO model, which are later converted for use as hearses, stretch limo's and armored limo's), 9th Gen Chevrolet Impala, and Chevrolet Equinox until July 2017, after which one of the plants wa retooled for production of the Chevrolet Silverado and GMC Sierra which began in early 2018. The next generation Buick Regal will be assembled in Germany for the North American market.

 

[StevieC]

There are a lot of part suppliers to GM that are fed by many injection molding shops here that are fed steel molds made by machine shops which buy machine tools from us and we get certain tools for our machines from other companies to supply them with our auto-tool changers on our machines. Just to give you an idea of the spin-off jobs. Not good at all.

 

[cjcride]

Originally Posted by OVERKILL

Originally Posted by Danno

The hollowing out of Ontario manufacturing jobs continues.... The high cost of electricity is probably just one of many reasons Ontario has become uncompetitive in the world market place.

This decision was likely aided, perhaps significantly, by the damage done by McGuinty and Wynne, with hydro costs being one of the big FUBAR's of those administrations. It follows on the heels of Caterpillar and other large industry exits.

and zero corporate tax cuts.

 

[StevieC]

They were given money in the last bailouts in 08-09 crisis. But the excessive hydro rates probably had something to do with it because although our labour is a savings thanks to the difference in the USD to the CDN dollar the hydro rates more than gobbled that up. We can only blame the bean counters for dooming GM into stagnant sales across most of their lines and this as part of that as a result.

 

[JeffKeryk]

NUMMI was the biggest employer in Fremont, CA. When it closed, the tax base was hit hard along so many jobs, both direct and indirect. Before that, GM made El Caminos and other cars. Our 1965 4-4-2 was made there. Now Teslas are made there. There is a "Great Mall" near there that used to be a Ford plant. Mustangs!

 

[Mr Nice]

When did GM promise their employees 'cradle to grave' jobs ?????? Bottom Line: No company can guarantee any job.

 

[pitzel]

Not surprised. The global auto sector suffers from severe overcapacity, and Canadians, nor Americans can possibly compete with Mexicans or Chinese who are willing to live next door to their respective factories, walk or bike to work, pay little tax, and live relatively simple lives. Demanding far less salary. As the Canadian dollar rises due to the deflation of the Canadian housing market, we're going to see a lot more of this. And US tariffs on foreign goods mean that a lot of foreign goods that previously would have been destined for the US will flood into Canada. And yes, mismanagement of Ontario's electricity sector has been a disaster. Half the people on the Sunshine lists have absolutely no business being on them.

 

[daves87rs]

Welll, knew this was coming..... If you guys think this is new, you have not seen anything yet....#industrychangeishappening First of many......

 

[daves87rs]

Originally Posted by OVERKILL

Originally Posted by Danno

The hollowing out of Ontario manufacturing jobs continues.... The high cost of electricity is probably just one of many reasons Ontario has become uncompetitive in the world market place.

This decision was likely aided, perhaps significantly, by the damage done by McGuinty and Wynne, with hydro costs being one of the big FUBAR's of those administrations. It follows on the heels of Caterpillar and other large industry exits.

Originally Posted by OVERKILL

[quote=Danno]The hollowing out of Ontario manufacturing jobs continues.... The high cost of electricity is probably just one of many reasons Ontario has become uncompetitive in the world market place.

GM has wanted out of most of Canada for some time now......they have too many plants right now.......

 

[daves87rs]

Originally Posted by StevieC

They were given money in the last bailouts in 08-09 crisis. But the excessive hydro rates probably had something to do with it because although our labour is a savings thanks to the difference in the USD to the CDN dollar the hydro rates more than gobbled that up. We can only blame the bean counters for dooming GM into stagnant sales across most of their lines and this as part of that as a result.

Not true. The auto industry in general here is slowly dying.....

 

[Kjmack]

I have a brother in law that works for Ford , he is working 16 hours a week and getting paid for 40 . He complains that he isn't getting overtime . Lol