Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowGeneral Motors Corp. will offer buyouts to all of its hourly employees as the troubled automaker continues to slash costs.
GM spokesman Tony Sapienza said the buyouts will mainly target GM’s 22,000 retirement-eligible hourly employees, though any union employee can take the offer.
News of the buyouts first broke on Monday, when a union official told The Associated Press then that GM would offer $20,000 in cash and a $25,000 car voucher for workers who retire early and those who simply leave the company.
Sapienza confirmed yesterday that the offer would consist of a car voucher and a one-time cash payment, though he declined to offer more details, saying that employees will be informed of the specifics of the offer on Friday. However, he said the latest offer would be less generous than previous buyouts.
GM’s Indiana operations include an assembly plant in Fort Wayne, a casting plant in Bedford and metal stamping plants in Marion and Indianapolis.
Sapienza said employees will have until March 24 to decide whether to accept a buyout. Employees who accept the buyout will leave the company by April 1.
The buyouts are the latest round of cost-cutting measures by GM, which is racing to piece together a plan for returning to viability by the middle of the month.
Please enable JavaScript to view this content.