GM Oshawa Assembly Plant will be closing in 2019

Nov 27, 2018, 00:46
GM Oshawa Assembly Plant will be closing in 2019

The facilities made some trucks, but those trucks are also made at in Mexico. The company will instead concentrate on trucks and SUVs, and will double its investment in electric and autonomous vehicles.

Ford, who is scheduled to address the issue in a media availability later Monday, expressed his concerns for the well being not only of GM workers, but the thousands employed in the broader supply change and also in local businesses that depend on these customers.

The plant in Oshawa, about 60 kilometres (40 miles) northeast of Toronto, was built in 1953, according to the manufacturer's website.

Oshawa has two assembly lines: The flex line produces the low-volume Cadillac XTS and Chevrolet Impala while the truck line produces the light- and heavy-duty Chevrolet Silverado and GMC Sierra pickups.

Ford laid out a number of requests for the federal government - including enhanced EI in Durham Region - in a phone conversation with Prime Minister Justin Trudeau Monday morning to discuss the GM closure in Oshawa.

"Unifor received notification today from General Motors that the company will make a major announcement tomorrow that will impact its global operations", wrote the union in the statement.

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General Motors had signalled some of its plans previously.

Oshawa has been a car-manufacturing hub since 1907, and is the headquarters of GM Canada.

GM's news release focused on the financial savings to the company that it predicts will come through these layoffs.

Oshawa Mayor John Henry said he had not spoken to anyone from GM. "I say, 'Well then, get a vehicle that is selling well and put it back in, '" Trump told reporters outside the White House. He said Canadians should expect to see a "very aggressive" campaign against the closure launch soon.

GM has three other sites in the province of Ontario.

GM is also dealing with some higher costs associated with tariffs on imported steel and aluminum, which has raised its commodity costs by about $300 million in the third quarter and could raise costs by $1 billion next year.

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Almost 4,000 jobs were lost when, in late 2005, GM announced the closure of Oshawa's No. 2. plant and the elimination of a shift at the No. 1 plant.

Jennifer French, MPP for Oshawa, says she finds the report of the plant closure "gravely concerning".

One man said the union had told workers at the plant to go home and would be speaking with employees at an afternoon meeting.

Ford later added: "We're disappointed in GM". The once-bustling factory already has lost two of its three shifts and 3,000 union jobs since the beginning of previous year.

Production began at the Oshawa plant on November 7, 1953, and in the 1980s the plant employed roughly 23,000 people. That brought praise from Wall Street: GM's stock rose more than 5% Monday. "Obviously incentives by themselves don't keep a vehicle plant open", said the executive, speaking on condition of anonymity because of the sensitivity of the matter.

At the time of the transfer, Dias said Carlisle's appointment to head Cadillac would raise his profile and influence within GM's headquarters in Detroit, and that "would be a huge benefit for us".

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Its operations even became a talking point for US President Donald Trump during tense Canada-US negotiations to revamp a continental trade pact. US sales of the Impala were down 13 percent through September. Impala, which is built at Oshawa and Hamtramck, was down 13 percent.

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