GM has unveiled at least two portions of their recovery plan, submitted to and funded by the
First, the bad news…
“General Motors Corp. will cut 10,000 jobs, or 14% of its salaried work force, this year as the auto maker struggles to cope with a steep drop in world-wide vehicle sales.
The job cuts are part of the plan the company submitted to Congress in December to secure bailout funding from the federal government. The company still has a week to submit an update on the restructuring plan’s viability.
Some 3,400 U.S. workers, or 12% of GM’s U.S. salaried work force, will be shed, with the bulk of the cuts happening by May 1. Most of those remaining will see a 3% to 7% pay cut on that date through year’s end, while executives will get a 10% reduction.
So much for the government being interested in creating or even protecting US jobs…
Now, this isn’t saying that it is all bad news over at GM… You tax dollar will be creating jobs… just not around here.
“SAO PAULO — General Motors plans to invest $1 billion in Brazil to avoid the kind of problems the U.S. automaker is facing in its home market, said the beleaguered car maker.
According to the president of GM Brazil-Mercosur, Jaime Ardila, the funding will come from the package of financial aid that the manufacturer will receive from the U.S. government and will be used to “complete the renovation of the line of products up to 2012.””
Who, exactly, is the government looking to “stimulate.”