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mSparks

Christmas Carnage - Job Losses at GM

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General Motors (GM) plans to halt production at five factories in North America and cut more than 14,000 jobs.

The US carmaker has also announced it will close three plants outside North America by the end of 2019.

The moves follow rising costs and slower car sales and come as the firm focuses on its line-up of trucks, electric and self-driving vehicles.

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The production cuts come as buyers in North America have turned away from smaller cars to bigger vehicles such as SUVs and trucks, which now make up nearly 70% of total US car purchases.

Ms Barra said GM wants to invest in electric and autonomous vehicles, which are expected to drive future industry growth.

She is also responding to rising costs - including from new tariffs on materials such as steel - while preparing the firm for the next downturn, after US car sales peaked in 2016.

. . .

Mr Trump, whose threats have frequently singled out the car industry, said he thought the pressure on GM would lead it to direct new work to the plants, at least in Ohio.

"I was very tough when I spoke to [Ms Barra]," he said. "They say the Chevy Cruise is not selling well. I said well get a car that is selling well and put it back in."

Labour unions in the US and Canada also said they would press the company to allocate more work to the factories, instead of closing them.

===

Analysis by Michelle Fleury

GM boss Marry Barra said the firm was embarking on the cuts to "keep ahead of changing market conditions".

Some of those changing conditions have little to do with the White House.

But others do.

Take the tariffs on steel - a key component in the production of cars. They have pushed up GM's costs by an estimated $1bn.

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Car Sales slow down - not just a GM or USA thing

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not just gm.

looking now like a full round of Christmas Carnage.

Sears started it in July, with a second round recently timed for the "best time to get laid off"

https://www.businessinsider.com/sears-kmart-list-of-stores-closing-before-holidays-2018-10

 

but despite the local impact the number of people involved was relatively minor.

At least until

https://www.bloomberg.com/news/articles/2018-10-15/sears-said-to-be-filing-for-bankruptcy-protection-monday-morning

->68,000 people getting pink slips for christmas.

That and this GM one will have massive multiplier effects accross the entire US economy. I expect the pre christmas US news to be dominated by the big US boys running the pink slip printers into the ground. 

while you've been following it a bit, i also expect apple google and facebook to join the christmas party.

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58 minutes ago, drbubb said:

ditch passenger cars

its not so much that they dont want the cars. and more that they ruined their credit score on the last one they bought.

https://www.bloomberg.com/news/articles/2017-05-17/banks-tighten-auto-lending-as-more-borrowers-fall-into-default

https://www.bloomberg.com/news/articles/2018-04-06/smaller-u-s-subprime-auto-lenders-are-folding-as-losses-pile-up

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TALK of GM's problems & the slowdown in sales at Bricks&Mortar Retail Stores

"We are coming into the end-game phase"

IMF Calls On Central Bankers To Begin The Transition Process Into Their New System - Episode 1725a

"IMF is recommending that all Central banks have their own blockchains"

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On 11/26/2018 at 11:40 PM, mSparks said:

while you've been following it a bit, i also expect apple google and facebook to join the christmas party.

https://www.cnbc.com/2018/12/02/facebook-employees-calling-former-colleagues-to-look-for-jobs-outside.html

https://www.bloomberg.com/news/articles/2018-11-29/bayer-cuts-12-000-jobs-plans-to-exit-animal-health-business

Bayer to Cut 12,000 Jobs, Exit Vet Unit Amid Drag From Suits

https://www.marketwatch.com/amp/story/guid/76C035B2-F49D-11E8-A819-BF3F534E2092

How to handle getting fired right before the holidays

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Same old game - Ease off with QE, tighten money supply, Corporations reduce investment and announce lay offs in unison, quickly followed by Governments austerity - wait for a trigger event 

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6 hours ago, yelik said:

wait for a trigger event 

triggers are an interesting area.

like, many consider Lehman to be a trigger event. not least because its so often referred to as the 2008 crisis

yet they filed bankruptcy 15th sept 2008, after 12-18 months of (unreported) mayhem.

Deutsche is still in full zombie, looking sure to sink this time round.

not sure id call that a "trigger" though.

Mid march for Brexit to lock in. - trigger?

sure there are more.

Dominoes falling, it may be fun calling out the odd gold and shiney dominoe, but economies dont exist in isolation.

 

 

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PREDICTED - back in January

The US Auto Industry is about to Implode - Michael Alkin

Used car prices are an important indicator - Huge surge in Leasing !

Low interest rates, and Leasing are "like crack for car-makers" - debt up $1.2 Billion.

1/3 of the market was "sub-prime"

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Lots of little triggers going off at moment  so Cabal have a lot of options if they wish to tip the scales - no doubt MSM will discuss  endless reasons what actually triggered things off.  Seems to me the dominos have already started to fall, but who knows, these days facts and huge Governments debt matter little.

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1 hour ago, yelik said:

huge Governments debt matter little.

UK debt lies have reached epic proportions now.

EU and US in total denial as well.

Keeping the problems Confidential doesn't really do anything to make the problems go away.

They really do matter, but like an untreatable disease, they just want to get on with life until they get flattened by the particular domino hanging over their head.

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