GM to close 7th plant due to Axle strike

[doh]

http://www.reuters.com/article/marke...0080304?rpc=44

CHICAGO, March 4 (Reuters) - General Motors Corp (GM.N: Quote, Profile, Research) said on Tuesday it will close a seventh facility next week as the impact from a strike against American Axle & Manufacturing Inc (AXL.N: Quote, Profile, Research) continues to widen for the No. 1 U.S. automaker.

A GM spokesman said in a recorded call that the company's Toledo, Ohio, transmission plant expects to close on Monday, March 10 due to the impact of the strike by the United Auto Workers union. The sixth plant in Mishawaka, Indiana, was already scheduled to shut down mid-morning on Tuesday.

An American Axle spokeswoman said the union and the supplier are not currently negotiating.

"We're ready to talk when they're ready to come back to the table," Renee Rogers said.

GM Chief Executive Rick Wagoner said on Tuesday at the Geneva auto show that he was hopeful American Axle and the union could resolve a contract dispute that led to the strike.

He said GM has been able to continue some production on the vehicles that have parts supplied by American Axle and inventories still remain a little high on the vehicles.

Analysts have said a short work stoppage could allow GM to run down inventories of trucks and sport utility vehicles, but have cautioned that a longer disruption could be costly.

The slump in U.S. auto sales and GM's own showroom traffic in recent months takes some of the pressure off the automaker as more of its plants idle, analysts have said. Continued...

[98sonoma]

I wish the UAW would figure something out...this isn't just stopping production at GM plants but also hurts other suppliers to GM like my company...

[K-1]

Originally Posted by 98sonoma

I wish the UAW would figure something out...this isn't just stopping production at GM plants but also hurts other suppliers to GM like my company...

The UAW sees nothing beyond their pocketbooks. The union is a money-grab, plain and simple.

[T-Type]

An American Axle spokeswoman said the union and the supplier are not currently negotiating.

"We're ready to talk when they're ready to come back to the table," Renee Rogers said.

I find this part disturbing. Both sides may be deadlocked, but at least there is a possibility of an agreement if everybody is at the table. No agreement is possible if one party is not there. Let's go! UAW! Get with the program!

[b4z]

How can you strike a company that is losing billions?

How does one rationalize that?

[VCDJ]

well with trucks down 30% last month. This is good for GM. At least their inventory levels will go down so that way they will not have to offer rebates and we all know that rebates kill resale value. So this is good for gm.

[VCDJ]

Originally Posted by b4z

How can you strike a company that is losing billions?

How does one rationalize that?

Well maybe you should ask different question. How can we still have same management that keeps loosing billions of dollars each year? That would be a good question to ask. It is not employees fault, they just do what their management tell them. It is not workers who decided to invest so much money into truck and suvs and ignore cars for so long. You should ask different question.

[Bvonscott]

Oh give it a rest VCDJ

[mkaake]

Originally Posted by VCDJ

Well maybe you should ask different question. How can we still have same management that keeps loosing billions of dollars each year? That would be a good question to ask. It is not employees fault, they just do what their management tell them. It is not workers who decided to invest so much money into truck and suvs and ignore cars for so long. You should ask different question.

You do realize we're talking about American Axle and not General Motors, right? How do you propose that American Axle focus more on cars, rather than trucks and SUV's?

[88ls1blazer]

Originally Posted by VCDJ

Well maybe you should ask different question. How can we still have same management that keeps loosing billions of dollars each year? That would be a good question to ask. It is not employees fault, they just do what their management tell them. It is not workers who decided to invest so much money into truck and suvs and ignore cars for so long. You should ask different question.

I ask this: How did you make it this far in life being so dumb? You never make accurate comments, you skew things to make your point, you never offer ANY real contructive advice, you simply state everyone sucks, and should do whatever you say cause it is right.

So what do you do for a living? Automotive journalist? Politician? Work for consumer reports? those are the only 2 positions I know that do these things.

[88ls1blazer]

Originally Posted by mkaake

You do realize we're talking about American Axle and not General Motors, right? How do you propose that American Axle focus more on cars, rather than trucks and SUV's?

Convince GM to builf BOF cars again

[member12]

Maybe this will help GM clear inventory.

[Joevette]

yeah, dont they have excess trucks sitting around? these guys provide axles for the trailblazer and 900's? then who cares, theres too many of them sitting around.

My solution: Find another supplier

[joemac]

This is the UAW (employees) fault? The employee is at fault for not graciously accepting the 50% decrease in wages? Sorry folks there's absolutely nothing work with empowering the employee to have some voice in his or her wages or benefits. There isn't a person alive that wouldn't relish the same opportunity if it were presented to them.

The responses here create the mind set that accepting a 50% hourly wage increase should simply be done. Easily accepted. Employees are stupid for not accepting it. As if the people that are recommending this action would accept it themselves and love it. Not being disgruntle, miffed in the least. Never mind even mentioning to their families that they won't be able to meet the house payment next month. Next month the family is going to consume half the groceries last month. Aww that's right it's no big deal just do it my fellow Americans!!!

[K-1]

Originally Posted by joemac

The responses here create the mind set that accepting a 50% hourly wage increase should simply be done. Easily accepted. Employees are stupid for not accepting it. As if the people that are recommending this action would accept it themselves and love it. Not being disgruntle, miffed in the least. Never mind even mentioning to their families that they won't be able to meet the house payment next month. Next month the family is going to consume half the groceries last month. Aww that's right it's no big deal just do it my fellow Americans!!!

That's because the rest of us are paid market wages and let our companies be profitable (and for me, that comes back in profit sharing). The UAW is the exact opposite.