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5 reasons why GM is cutting jobs, closing plants in a healthy economy

DETROIT — Even though unemployment is low, the economy is growing and U.S. auto sales are near historic highs, General Motors is cutting thousands of jobs in a major restructuring aimed at generating cash to spend on innovation. It's the new reality for automakers that are faced with the present cost of designing gas-powered cars and trucks that appeal to buyers now while at the same time preparing for a future world of electric and autonomous vehicles. GM announced Monday that it will cut as many as 14,000 workers in North America and put five plants up for possible closure as it abandons many of its car models and restructures to focus more on autonomous and electric vehicles. The reductions could amount to as much as 8 percent of GM's global workforce of 180,000 employees. The cuts mark GM's first major downsizing since shedding thousands of jobs in the Great Recession. The company also said it will stop operating two additional factories outside North America by the end of next year. The move to make GM get leaner before the next downturn likely will be followed by Ford Motor Co., which also has struggled to keep one foot in the present and another in an ambiguous future of new mobility. Ford has been slower to react, but says it will lay off an unspecified number of white-collar workers as it exits much of the car market in favor of trucks and SUVs, some of them powered by batteries. Here's a rundown of the reasons behind the cuts: Coding, not combustion CEO Mary Barra said as cars and trucks become more complex, GM will need more computer coders but fewer engineers who work on internal combustion engines. "The vehicle has become much more software-oriented" with millions of lines of code, she said. "We still need many technical resources in the company." Shedding sedans The restructuring also reflects changing North American auto markets as manufacturers continue to shift away from cars toward SUVs and trucks. In October, almost 65 percent of new vehicles sold in the U.S. were trucks or SUVs. That figure was about 50 percent cars just five years ago. GM is shedding cars largely because it doesn't make money on them, Citi analyst Itay Michaeli wrote in a note to investors. "We estimate sedans operate at a significant loss, hence the need for classic restructuring," he wrote. The reduction includes about 8,000 white-collar employees, or 15 percent of GM's North American white-collar workforce. Some will take buyouts while others will be laid off.

2022 GMC Hummer Edition 1 weighs 9,063 pounds

From the beginning, the Hummer line of vehicles has been synonymous with the phrase, "absolute unit." The M998 Humvee turned to civilian use as the Hummer H1 came with a curb weight of 7,560 pounds depending on configuration. The much more urbane Hummer H2 didn't sacrifice much of those gains, putting about 6,615 on the scales. Let us not forget that the behemoth gravitational pull and square-jawed mass were what every Hummer buyer wanted. So, starting with the brand values and customer demand, and adding the fact that electric vehicles are substantially heavier than their ICE counterparts, no one should be surprised that the 2022 GMC Hummer Edition 1 weighs 9,063 pounds. That's just one of the substantial figures GMC included in a self-certification filing submitted to the U.S. Environmental Protection Agency, the document rooted out by Car and Driver. Last year GMC told us the Hummer would weigh 9,046 pounds, which proves again the Freshman 15 (or 16) is unavoidable.  Loaded up with humans and their accessories, the truck's gross vehicle weight rating (GVWR) comes in at 10,550 pounds. It takes a few other big numbers to keep that kind of tonnage on the go. The Ultium battery weighs 2,923 pounds. With a 617-amp-hour capacity at 400 volts, total capacity comes in at 246.8 kWh, specific energy at 158 Wh/kg. Usable capacity is about 85% less, at 212.7 kWh. For the time being, these numbers put every other pack in a production vehicle in the shade. That gargantuan chemical plant in the Hummer's floor powers a 329-mile range the same way a giant fuel tanks feed a truck that gets 8 miles to the gallon. The miles per gallon equivalent figures GMC submitted to the EPA are 51 MPGe city, 43 MPGe highway, 47 MPGe combined. Motor Trend questioned whether GM applied the correction factor used for window sticker numbers; if not, the standard 0.7 correction drops the MPGe specs to 36 city, 30 highway, and 33 combined. However, trucks with a GVWR beyond 8,500 pounds don't need to display fuel economy figures on their window stickers, so don't expect to see any such details on dealer lots. For comparison, the Rivian R1T Launch Edition weighs about 7,000 pounds, and fits a 128.9 kWh battery good for an estimated 314 miles estimated at 70 MPGe.

GM issues CUV stop-sale due to Goodyear tires [UPDATE]

UPDATE: A previous version of this story incorrectly stated that only 6,281 tires were installed on the CUVs, when in actuality, there were 6,281 CUVs affected by the stop-sale order, totaling 25,124 tires. The story has been edited to reflect this. General Motors has issued a stop-sale order on some 6,300 of its Lambda platform crossovers due to a pending recall on their 18-inch Goodyear Fortera HL tires. The affected vehicles include all three flavors of GM's large CUV platform, consisting of the 2015 Chevrolet Traverse, GMC Acadia and Buick Enclave. Goodyear is recalling a total of 48,500 Fortera HL tires after discovering "very small" cracks in the tread, found during internal testing. Of the affected tires, 32,100 were made for GM, Goodyear told Automotive News. According to GM, 6,281 CUVs were fitted with the questionable rubber, totaling 25,124 of the company's 32,100 tires. The remainder were stocked as replacements, a GM rep told Autoblog. The remaining 16,400 tires were built specifically for the aftermarket. Goodyear reports that the cracks do "not indicate a safety issue." Meanwhile, a GM spokesman told AN that stop-sale "will eventually lead to a non-compliance recall by GM." Featured Gallery 2015 Chevrolet Traverse View 21 Photos News Source: Automotive News - sub. req. Recalls Buick GM GMC Safety Crossover gmc acadia chevy traverse goodyear