Business
Winnipeg Free Press - PRINT EDITION
GM selects plant for next car generation of cars
1,200 assembly jobs safe in Orion Township Orion Township
In addition to saving 1,200 jobs at the assembly plant, where GM will invest between $600 million and $800 million, the automaker will reconfigure its Pontiac, Mich., stamping plant where another 200 people will be needed to produce the body panels, and other metal components for two unnamed models that will be produced beginning in 2011.
But GM is defying conventional auto industry wisdom that very small cars can be produced profitably with American workers. It will be able to hire a significant number of new workers at a more competitive wage and benefit level of about $28 an hour, or about half what it has paid UAW workers in the recent past.
The initial car will be a B-size subcompact, or a car the size of the Chevrolet Aveo, now produced in Korea. Eventually, the plant will be able to assemble a car the size of the Chevrolet Cobalt or Pontiac G5.
At full production, the plant will be able to produce 160,000 cars annually.
GM's North American President Troy Clarke said Wisconsin, Tennessee and Michigan all made attractive offers, but Michigan's was a "very, very, very good offer." He didn't provide specifics, but local officials said Orion Township offered a 25-year, 100 percent personal property tax abatements, potentially worth $100 million over 25 years.
"Their major advantage was the Pontiac stamping plant," said Sean McAlinden, chief economist at the Center for Automotive Research in Ann Arbor, Mich. "They had looked at Janesville a number of times, but it's so close to a river that there was no way they could put a stamping plant within five miles of the assembly plant."
-- McClatchy-Tribune Information Services
Republished from the Winnipeg Free Press print edition June 29, 2009 B6
- Rate this

-
-
We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.
You can also register and/or login to the site and join the conversation by leaving a comment.
Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.
There are no comments at the moment. Be the first to post a comment below.
Post Your Comment
The Winnipeg Free Press does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.
-
Faith Enduring
A look at Manitoba’s Ukrainian community through their churches
-
The Forgotten Disease
The fight to eradicate tuberculosis is far from over.
-
Flu Fight
News about the world's battle against the H1N1 flu pandemic
-
Follow the Way!
Join United Way on its journey toward lasting change and better lives.
-
Winnipeg road closures
Check if your commute is affected
-
Editor's Bulletin
Sign up for daily bulletins
-
Blogs to Watch
We pick our favourite local blogs for you to follow
-
Breaking News Widget
Create and embed a Winnipeg Free Press breaking news widget on your site or blog
- Back to Top
- Return to Business
Advertisement
Most Popular
- Sod turned at IKEA site today
- Manitoba man killed in crash in Nebraska
- Jury finds man guilty in execution-style slaying
- Horror at the movies? That's the snack booth
- Southern chiefs blast Hydro
- Woman charged in year-old homicide case
- Rush hour crash closes Wilkes
- Will you get the H1N1 flu vaccine?
- Child grabbed, police looking for suspect
- Police looking for missing girls
- Southern chiefs blast Hydro
- Sod turned at IKEA site today
- Find lukewarm lovers who fit your style
- Activists protest delay over Kapyong housing
- Addicts out in cold: workers
- Province takes aim at stubble fires
- Ignatieff, McFadyen do the shuffle dance
- Jury finds man guilty in execution-style slaying
- Horror at the movies? That's the snack booth
- Rush hour crash closes Wilkes
- Sod turned at IKEA site today
- Horror at the movies? That's the snack booth
- Southern chiefs blast Hydro
- 300 homes evacuated, schools closed after heavy rain, high tide flood Duncan, BC
- Health Canada warns vets and pet owners about drug used to treat diabetes
- Mortgage rates likely to rise soon
- Activists protest delay over Kapyong housing
- Children helping children is charity's goal
- Asthma appears to be significant risk factor in kids for severe H1N1: study
- Addicts out in cold: workers
Ads by Google


PREVIOUS

0 Comments