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Jun 23, 2008 8:33 pm US/Central
Production Cuts Will Affect Arlington GM Plant
DETROIT / ARLINGTON (CBS 11 / TXA 21) ―
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The Cadillac Escalade is produced exclusively at the General Motors plant in Arlington.
CBS
General Motors Corp. says it will further cut production of trucks and sport utility vehicles from the summer through the end of the year.
Spokesman Chris Lee says GM will cut shifts, reduce assembly line speeds and temporarily idle seven factories because of declining consumer demand for the truck-based vehicles.
The Arlington plant, which makes the Cadillac Escalade and other large SUVs, customarily shuts down for two weeks during July. These cuts mean the plant will close for a total of seven weeks between now and the end of the year, said plant spokeswoman Wendi Sabo.
"It's mainly because of the rising fuel costs and the decrease in the sales of the full-size truck market," said Sabo.
The Arlington facility will close during the following weeks:
June 30
July 7
July 14
July 21
July 28
September 8
October 6
December 1
Sabo says the plant's union employees will be laid off during those weeks, which she says is customary during the summer shutdown. Those employees will qualify to receive up to 95 percent of their usual paychecks from the United Auto Workers union, according to Sabo.
"I've been laid off many times out here, so no biggie," said Sandra Gatson. She has been with the company for over 28 years. She's a single mother with grown children.
About 2,700 employees will be unemployed in Arlington. The plant just hired 150 new employees who started work last Monday. Those employees won't qualify for supplemental pay.
"If the economy doesn't pick up, we're going to have to be cognizant of the fact that there may be more after this, some more down time," said Enrique Flores.
The biggest cut will take place at the company's Janesville, Wis., factory that makes large SUVs. It will be idled the weeks of July 14 and 21, plus it will be shut down another 10 weeks through the end of the year.
Lee said Monday the other affected plants are in Oshawa, Ontario; Silao, Mexico; Moraine, Ohio; Fort Wayne, Ind.; and Shreveport, La.
The price of the 2009 models will also increase.
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