Auto Industry is still Waning
June 27th, 2006 by admin
The Portuguese Plant is Closing
GM is closing another major factory. The factory is in Portugal and it will close Oct. 31 of 2006. GM is constantly searching for ways to increase the profitability of the plant, but it seems that that’s not going to happen. Gerald Johnson, GM’s Europe director, announced the closing in a newspaper report on Friday.
Gerald Johnson said in the letter, reportedly sent to union representatives, that GM had delayed its decision to close the factory because the Portuguese government had asked for time to find a solution for making the Combo production unit more profitable, the newspaper said.
Though Johnson has already stated the plant will close, the Portuguese government is doing everything they can to ensure it doesn’t close because it is a big source of revenue for them.
Workers in Portugal and Germany walked out of plants earlier this month in protest after reports that the troubled company might cut jobs in Western Europe.
America is not the only country that’s hurting because of mismanagement in a few big companies. Germany and Portugal’s families have been hurt from layoffs and other things that sprung from our economy difficulties
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Posted on Tuesday, June 27th, 2006 at 7:40 am
In Auto Warranty