Troubled automaker reducing worldwide salaried staff by 14%, with a third of layoffs coming in U.S.; remaining workers to have their pay cut for 2009.
By Chris Isidore, CNNMoney.com senior writer
Last Updated: February 10, 2009: 3:39 PM ET
NEW YORK (CNNMoney.com) -- General Motors announced Tuesday it is cutting 10,000 workers, or 14% of its salaried jobs worldwide. A third of those job losses will be in the United States.
The troubled automaker also said it will cut the pay for its remaining U.S. salaried staff.
GM (GM, Fortune 500), which is preparing to present a long-term viability plan to the Treasury Department next week, said the cutbacks are part of the restructuring plan it submitted to Congress on Dec. 2 when it was first asking Washington for federal assistance.
The company said at that time it intended to cut its U.S. staff by between 22% and 33% by 2012.
GM received $9.4 billion in federal loans in order to allow it to stay out of bankruptcy, and expects to receive another $4 billion in federal loans after its Feb. 17 submission to the Treasury Department.
GM said worldwide salaried staff would be cut to 63,000 from 73,000, and that 3,400 of its 29,500 salaried staff in the United States will be affected. This job reduction will not include voluntary buyout offers, however.
Rest at - http://money.cnn.com/2009/02/10/news/companies/gm_staffing/index.htm?postversion=2009021008
By Chris Isidore, CNNMoney.com senior writer
Last Updated: February 10, 2009: 3:39 PM ET
NEW YORK (CNNMoney.com) -- General Motors announced Tuesday it is cutting 10,000 workers, or 14% of its salaried jobs worldwide. A third of those job losses will be in the United States.
The troubled automaker also said it will cut the pay for its remaining U.S. salaried staff.
GM (GM, Fortune 500), which is preparing to present a long-term viability plan to the Treasury Department next week, said the cutbacks are part of the restructuring plan it submitted to Congress on Dec. 2 when it was first asking Washington for federal assistance.
The company said at that time it intended to cut its U.S. staff by between 22% and 33% by 2012.
GM received $9.4 billion in federal loans in order to allow it to stay out of bankruptcy, and expects to receive another $4 billion in federal loans after its Feb. 17 submission to the Treasury Department.
GM said worldwide salaried staff would be cut to 63,000 from 73,000, and that 3,400 of its 29,500 salaried staff in the United States will be affected. This job reduction will not include voluntary buyout offers, however.
Rest at - http://money.cnn.com/2009/02/10/news/companies/gm_staffing/index.htm?postversion=2009021008
