GM Laying Off 1,000 Workers at Lansing Crossover Plant

[TuffG929]

GM's Lambda crossover vehicles are selling well, yet the company has decided to cut one of three shifts at its Lansing plant where the vehicles are produced. The move will cut 1,000 jobs by the end of the year, of which 497 were temporary anyway. The remaining 510 low-seniority workers will either be sent to another plant, or they will enter the jobs bank. The Buick Enclave, Saturn Outlook, and GMC Acadia have sold at an average of 13,000 units per month for the past few months...

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[F14CRAZY]

This article says the Enclave spends about a month on the lot...how much a recently inventory thread showed that it was an average of ONE day?

[jkennedy293]

I think GM is doing the right thing. Their forecasts are showing a slow down in sales, so they should slow down production BEFORE there is a glut of Lambdas on the market killing perception and profits.

I really think the old GM would have kept on producing to keep the UAW happy, and then sold the extra vehicles to rental fleets at almost no profit.

[JazzyChef]

I've been seeing the Lambda's everywhere here in Phoenix. They are very hot but they look almost about the same size as a full size SUV for a cheaper price really. The Ford edge is what I expect to be a crossover, it's right there in the middle with size and price. Customer perception when buying a vehicle is huge.

[skylark68]

Interesting move by GM. Sounds like a smart plan to cut production now before they are forced to start giving $10,000 off of them...

[tgagneguam]

This brief article nicely explains that this was an anticipated move, so there's not much to be concerned about.

Besides,

Originally Posted by jkennedy293

I think GM is doing the right thing. Their forecasts are showing a slow down in sales, so they should slow down production BEFORE there is a glut of Lambdas on the market killing perception and profits...

Uh-huh, I agree.

[goblue]

Originally Posted by tgagneguam

This brief article nicely explains that this was an anticipated move, so there's not much to be concerned about.

Fortunately for GM, but unfortunately for the US - this is most likely due to softening in the US economy and not a reflection on the vehicle itself.

[VCDJ]

This is because chevy version will be out soon. And gm know that chevy version will take away sales from gmc and saturn. Again gm is goin to be competing with itself. Why do we need four version of same suvs. Acadia should of been Chevy from the start and Buick should have its version and that is it. THere is no need for four different version of same suv. Why not just make two best in the class? why spend money on other two? Why spend money advertising other two, when you can just focus on chevy and buick and advertis them like you should.

[HEVguy]

Originally Posted by jkennedy293

I think GM is doing the right thing. Their forecasts are showing a slow down in sales, so they should slow down production BEFORE there is a glut of Lambdas on the market killing perception and profits.

I really think the old GM would have kept on producing to keep the UAW happy, and then sold the extra vehicles to rental fleets at almost no profit.

IMO, you hit it spot on! That was exactly what I was thinking. Good to see GM being proactive in this manner.

[jbartley]

i'm sure production has sped up since all three vehicles are in full swing and they can make more per shift than they did when they first launched the enclave.

[unkillsam]

Originally Posted by VCDJ

This is because chevy version will be out soon. And gm know that chevy version will take away sales from gmc and saturn. Again gm is goin to be competing with itself.

Why so negative?

In the past, GM would not have cut production even knowing they were about to introduce a model that would kill sales of another brand.

Look and how they are now cutting Impala production and cutting back at Delta township in anticipation of the Malibu and Traverse.

GM is finally getting it.!!

[VCDJ]

Originally Posted by unkillsam

Why so negative?

In the past, GM would not have cut production even knowing they were about to introduce a model that would kill sales of another brand.

Look and how they are now cutting Impala production and cutting back at Delta township in anticipation of the Malibu and Traverse.

GM is finally getting it.!!

I agree with you that gm is finaly getting it (cutting inventory before it is to late). But i do not agree that gm needs to have 4 different version of same suv. They just competing with itself. You probably agree with me on this. Why not just make two excellent suv's. And then use money that you would spend on advertisng saturn outlook and gmc acadia, just to promote chevy and buick version. Chevy would sell alot more acadia if ti was given to chevy.

[gmmerc5]

Originally Posted by VCDJ

This is because chevy version will be out soon. And gm know that chevy version will take away sales from gmc and saturn. Again gm is goin to be competing with itself. Why do we need four version of same suvs. Acadia should of been Chevy from the start and Buick should have its version and that is it. THere is no need for four different version of same suv. Why not just make two best in the class? why spend money on other two? Why spend money advertising other two, when you can just focus on chevy and buick and advertis them like you should.

I agree with you completely, now it would be nice to have GM exec come out and explain what are their thinking behind this. However if the Chevy version only have 2 roll of seat, then this may make sense.

[dratnol]

Originally Posted by VCDJ

I agree with you that gm is finaly getting it (cutting inventory before it is to late). But i do not agree that gm needs to have 4 different version of same suv. They just competing with itself. You probably agree with me on this. Why not just make two excellent suv's. And then use money that you would spend on advertisng saturn outlook and gmc acadia, just to promote chevy and buick version. Chevy would sell alot more acadia if ti was given to chevy.

There are many people out there who don't even know that Saturn is GM. Cutting off this group would not be a good idea since they are not cross shopping Chevy. I don't imagine a person looking at an Enclave would be cross shopping a Chevy either.

[camaro_freak]

Originally Posted by unkillsam

Why so negative?

In the past, GM would not have cut production even knowing they were about to introduce a model that would kill sales of another brand.

Look and how they are now cutting Impala production and cutting back at Delta township in anticipation of the Malibu and Traverse.

GM is finally getting it.!!

because it is one step forward, two steps back with GM

Does GM need 4 crossovers, 2 of which look very similar? I thought product overlap was supposed to be reduced under the "new" GM???