Breaking: GM Oshawa closing all operations

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Seems like I've seen this story before: economy gets to booming along, Times are good, then out of the blue companies decide to improve profitability or trim down (restructure) and start cutting things - usually around Christmas. I realize there are economics behind it and it's a cyclical pattern repeated every so often. This is probably a precursor to the economic contraction Wall Street has been predicting and expecting.
 
Originally Posted by 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"
smirk.gif




Well GM did this to my hometown. Notice I do not live thier. A lot less people do.
 
Originally Posted by 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.
frown.gif


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.....

Funny because the Koreans and Japanese are either building plants and/or having no problem selling units. The population keeps expanding and they all need vehicles to drive and there are accidents / mechanical failures needing vehicles to be continually replaced.
21.gif
 
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Originally Posted by StevieC
Originally Posted by 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.
frown.gif


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.....

Funny because the Koreans and Japanese are either building plants and/or having no problem selling units. The population keeps expanding and they all need vehicles to drive and there are accidents / mechanical failures needing vehicles to be continually replaced.
21.gif



Building in the south with cheap/temp labor and importing vehicles that have VINs starting with J or K help.
 
Originally Posted by 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

That sucks. He should find another job. /s
 
Originally Posted by StevieC
Originally Posted by 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.
frown.gif


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.....

Funny because the Koreans and Japanese are either building plants and/or having no problem selling units. The population keeps expanding and they all need vehicles to drive and there are accidents / mechanical failures needing vehicles to be continually replaced.
21.gif



You'd be amazed at how many Millennials don't even bother with driving anymore. Yes, some of it is economic, but with wireless telephony, being stuck on a bus, train, or plane isn't a sentence to no social interaction or productivity like it was. If anything, people are finding they're getting a lot more done by taking 'slower' public transit than by driving.

Vehicles are also lasting a lot longer as well. So replacement rates are diminishing. 200k miles with only 1 scheduled shop visit is pretty typical these days.
 
Originally Posted by StevieC
Originally Posted by 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.
frown.gif


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.....

Funny because the Koreans and Japanese are either building plants and/or having no problem selling units. The population keeps expanding and they all need vehicles to drive and there are accidents / mechanical failures needing vehicles to be continually replaced.
21.gif



It will catch up to everyone at some point.

Sorry to sound like a bad butt, but there are many reasons, to crowded cities to less folks wanting to drive-even the cost of ownership. Does make me sad though....
 
Originally Posted by KrisZ
That is bad new for sure. People living is Oshawa will be hit the hardest, but a lot of small suppliers and shops may go out of business as well across the GTA area. This will also affect other automotive plants in Ontario.


I'm hoping someone will move there build something......
 
Originally Posted by dblshock
did GM mention where production will be shifted to?


No where basically, The plant is building trucks that are being phased out (old style body, new style built multiple other places), they are doing overflow Equinox work from Ingersoll that once the economy slows a bit won't be needed. The Impala....how long has GM been trying to kill this car....and the XTS Caddy.

Of all the auto plants I deal with (and I've been in over half the ones in the US and all of them in Canada), the folks at GM Oshawa were always the most pleasant to deal with and despite typical auto plant attitudes sometimes...they really did seem to care about the jobs they did...hence all the JD Power awards.

I understand why GM is doing it.....it just sucks.....a lot of good people despite giving a crap about they did their jobs....are going to be the casualties of things and decisions far removed. Represents about 5% of my business too.
 
Originally Posted by PiperOne
Originally Posted by dblshock
did GM mention where production will be shifted to?


No where basically, The plant is building trucks that are being phased out (old style body, new style built multiple other places), they are doing overflow Equinox work from Ingersoll that once the economy slows a bit won't be needed. The Impala....how long has GM been trying to kill this car....and the XTS Caddy.

Of all the auto plants I deal with (and I've been in over half the ones in the US and all of them in Canada), the folks at GM Oshawa were always the most pleasant to deal with and despite typical auto plant attitudes sometimes...they really did seem to care about the jobs they did...hence all the JD Power awards.

I understand why GM is doing it.....it just sucks.....a lot of good people despite giving a crap about they did their jobs....are going to be the casualties of things and decisions far removed. Represents about 5% of my business too.


I bought a new 2011 Terrain built there, it was really put together well. I'll be sad if this plant closes.
 
I wonder if they are going to shut down the St Catherine's plant soon too? Both of my cousins work there (although one of them is ready to take early retirement anyways)
 
PiperOne, They haven't been trying at all to kill the Impala. If they wanted to stop, all they do is say stop. Just like they did with the Oshawa plant...! Look at ChryCo with the Dodge Dart and Chrysler 200.... these were BRAND NEW vehicles that were only 3-4 model years old and FCA said "bye bye".

Don't make it sound like GM are being forced to continue... the Impala is clearly making money, or else they would stop doing it.
 
Originally Posted by SubieRubyRoo
PiperOne, They haven't been trying at all to kill the Impala. If they wanted to stop, all they do is say stop. Just like they did with the Oshawa plant...! Look at ChryCo with the Dodge Dart and Chrysler 200.... these were BRAND NEW vehicles that were only 3-4 model years old and FCA said "bye bye".

Don't make it sound like GM are being forced to continue... the Impala is clearly making money, or else they would stop doing it.


I head straight for those on the National lot (the V6) …
 
Originally Posted by daves87rs
I'm hoping someone will move there build something......


If I was looking to start a manufacturing business in North America, Ontario would be a long, long way from my first choice. They may have a sane government now, but who knows how long that will last?
 
This is a bad day!! Workers are now either being sent home, walking off the job or GM has shut down the lines?

Just last week was a deadline to get people to take packages. My wife wasn't one of them.
Many reasons floating around why this is happening but Wynne and the Liberal Gov't with their Green energy fiasco certainly didn't help. The money GM pays in Hydro is through the roof as one living in Ontario can imagine!
mad.gif


Bad day for Oshawa and many surrounding areas! Thousands of jobs will be affected, including many friends and family who currently work there.

My wife just texted me. It is not good there at all. Many hurt/upset people as can be expected!
 
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Originally Posted by Mr Nice
Unfortunately any job loss is a shock.

Folks will have to look for work in other industries




True but easier said than done sometimes. Older folks will have it the hardest. Also, having thousands of workers flooding the local market doesn't help either.

A lot will just move. It's always sad to hear these stories and they always happen around Christmas.
 
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