GM to close its Indianapolis stamping plant

Article by Christian A., on September 28, 2010

General Motors announced today that it started the wind-down of its Indianapolis stamping plant after UAW-represented workers rejected a proposed 50 percent pay cut.

“We are disappointed that UAW Local 23 was not able to ratify the proposed labor agreement,” said Carpenter GM spokeswoman Kim Carpenter.

Carpenter also added that he has ended its search for a potential buyer. The production will stop in mid-2011, and the plant will close its doors by December 2011.

Apparently, UAW-represented workers rejected the cuts because they were too deep and the plant's 650 workers would take their chances transferring to another GM plant should jobs open. The contract proposed by GM involved a payment cut from $28 an hour to $14 an hour.

This means less than $30,000 per year. Furthermore, the proposed contract also contained a ”buydown” provision, which means that the manufacturer would have paid workers a total of $25,000 over two years in order to compensate them for the wage cuts.

For those who don’t know, the GM Indianapolis stamping plant makes , such as hoods, doors and fenders, for several GM cars. [via autonews - sub. required]

If you liked the article, share on:

Comments

Recommended

November 17 is considered a very special day for Tesla, as this is the day that they revealed the highly anticipated Tesla Semi. But Elon Musk did not think the...
by - November 17, 2017
More details have emerged about the new sixth generation of the BMW M3 just as the German premium practically announced the end of the current-gen 3 Series with the unveiling...
by - November 17, 2017
All is set for Volkswagen’s plans to enter the electric vehicle game, as prompted by the so-called Dieselgate scandal. In fact, the German carmaker has already made a commitment to...
by - November 17, 2017
As BMW has already revealed, the next generation of the BMW M5 (F90) is a four-wheel drive high-performance sedan with overwhelming power output and torque at its disposal. However, it...
by - November 17, 2017
McLaren unveiled a one-off Gold - on - Black 720S at the 2017 Dubai Motor Show which will be on display throughout the entire stretch of this week’s event. The...
by - November 16, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries