General Motors idles second Lansing plant

[tgagneguam]

General Motors idles second Lansing plant

LANSING -- General Motors Corp. is idling a second Lansing-area plant to trim a backlog of unsold vehicles.

The Lansing Grand River assembly plant will close for a week starting Feb. 28, marking the first time the 4-year-old factory has halted production to bring inventories in line with demand, GM spokeswoman Heidi Magyar said.

The plant's 1,500 employees build the Cadillac CTS and STS sedans and the Cadillac SRX sport utility vehicle.

"December, January and February are hard months for sales. Nobody wants to go outside in the cold, and it's just after the holiday season," Magyar told the Lansing State Journal for a Friday story.

The newspaper said representatives of United Auto Workers Local 652, which represents hourly workers at the plant, could not be reached for comment Thursday.

The Lansing Craft Centre was shut down Jan. 3 because of a backlog of unsold Chevrolet SSR roadsters. The 500 workers at the plant in Ingham County's Lansing Township are furloughed until March 5. They are receiving unemployment and supplemental unemployment benefits totaling 95 percent of their net pay under terms of their UAW contract.

Full article

[tgagneguam]

I'm surprised this plant is being idled. The STS is new, and the CTS has been strong, despite being in the fourth year of its product cycle. While I prefer that GM ease supplies rather than boost incentives, I'm not pleased by this news. Not one iota.

[LGRpup]

Originally Posted by tgagneguam

I'm surprised this plant is being idled.

You were not the only surprised one. Its funny its already online, and we were told just last night.

[mgescuro]

How odd!!!??

I thought GM was having troubles keeping up with demand for the STS4!!!
Oh well. Surprised that the Cadillac sales are slow.

So... what cars in GM *ARE* selling well???

[gmsickofan]

The 500 workers at the plant in Ingham County's Lansing Township are furloughed until March 5. They are receiving unemployment and supplemental unemployment benefits totaling 95 percent of their net pay under terms of their UAW contract.

Nice vacation...

[vdoh182]

i doubt that they r sellign slow, gm has been real careful to keep inventory on these cars down to not have to use incentives/build up sales momnetum thorughout the year so they rnt giving them away in december, which hurts resale value/image.

[LGRpup]

Originally Posted by vdoh182

i doubt that they r sellign slow, gm has been real careful to keep inventory on these cars down to not have to use incentives/build up sales momnetum thorughout the year so they rnt giving them away in december, which hurts resale value/image.

Thats almost exactly what the plant manager said. I was shocked when they showed us the numbers, our days supply had went from pretty low to pretty large. The local dealers commented that there sales really hadn't slowed down, and in fact they couldn't get enough AWD cars to meet the demand. Well I have a feeling when the weather warms up and the 06's and the new sport models ans STS-V start rolling out we will be back on OT. Man I wish cars sold better in the winter so we could have OT when its cold and nasty out not warm and sunny. Oh well I better stop complaining before the "quit complaining you overpaid fat slob union worker who gets supplement pay in addition to his unemployment checks when your laid off MOFO", posts start popping up.

[Ming]

Well I have a feeling when the weather warms up and the 06's and the new sport models ans STS-V start rolling out we will be back on OT

Yeah LGR, first you get 95% paid vacation, then you get overtime pay, and you complain about the weather? Really!

[Slack]

Not the SSR plant!!! I thought those were outselling Mustangs 3 to 1?!?!? Ha! So GM builds a vehicle no one wants, and then when no one buys it they send 500 people home who still make 95% of their salary? That could be the problem.

[Cortazzo]

Supplier issues are what's keeping Caddy and Ford from selling more AWD systems on cars like the STS and 500.

[spudglo08]

Originally Posted by gmsickofan

Nice vacation...

Ya it is my dads been fishing alot latly.

[LGRpup]

Originally Posted by Slack

Not the SSR plant!!! I thought those were outselling Mustangs 3 to 1?!?!? Ha! So GM builds a vehicle no one wants, and then when no one buys it they send 500 people home who still make 95% of their salary? That could be the problem.

Yeah this article's main point wasn't about the Craft Centre (SSR plant), but I am sure you already knew that and just needed somewhere to stick your comment.

[stormwatcher]

Not encouraging hearing another plant idled, although it is only for one week. A bigger issue is whether GM can afford to keep paying workers who aren't working. That is a frill that the UAW is probably going to have to give up. GM just doesn't have the extra money to pay this perk to thousands and thousands of workers.

[VivienM]

Originally Posted by stormwatcher

Not encouraging hearing another plant idled, although it is only for one week. A bigger issue is whether GM can afford to keep paying workers who aren't working. That is a frill that the UAW is probably going to have to give up. GM just doesn't have the extra money to pay this perk to thousands and thousands of workers.

Then maybe GM managers should come up with products that can sell at full capacity...

[Ham Radio]

Originally Posted by gmsickofan

Nice vacation...

Look for the UAW label.