English 
English Welcome
on East Filters
Looking for auto parts? Please click below.
Our products
Racor Fuel filter/Water Separator
Oil water separator parts
Sakura Filters Equivalent
Fuel filter accessory
Top Searches
Oil filter
Fuel filter
Air filter
Oil water separator
Fuel water separator
Racor
Volvo
Caterpillar
Benz
Perkins
Scania
Komatsu
MAN
HINO
Iveco
TOYOTA
GM plans to cut 9,000 US workers
GENERAL Motors Corp is offering early-retirement incentives to 28 percent of American salaried employees, or about 9,000 workers, industry sources have revealed.
The move is significantly greater than the statement by the largest United States auto maker on July 15 that it wanted to cut 20 percent of its salaried-worker costs in the US and Canada by November 1, Bloomberg News reported. Employees have 45 days to consider the proposal, the sources said.
'The timetable for this program is quite aggressive,' said David Kudla, chief executive officer of Mainstay Capital Management LLC in Michigan. CEO Rick Wagoner accelerated cost cuts as gasoline prices soared past US$4 a gallon this year, damping demand for GM's most-profitable trucks and contributing to a US$15.5-billion second-quarter loss. He is seeking US$1.5 billion in salaried-job savings to help weather the weakest US auto market in 15 years.
The latest payroll cuts come on top of a 26-percent reduction in GM's North American workforce to 133,000 employees, including salaried and hourly jobs, from the end of 2004 through June 30.
Spokeswoman Deborah Silverman confirmed that Detroit-based GM was discussing the packages with eligible workers. GM's 2,500 salaried workers in Canada aren't part of the offer. The auto maker has 32,000 salaried employees in the US.
The new salaried-worker savings are part of GM's plan to boost liquidity by US$15 billion through the end of 2009. GM wants to trim the US and Canadian salaried payroll by 15 percent, or about 5,175 jobs. GM fell 34 cents, or 3.3 percent, to US$10 last Friday in New York Stock Exchange composite trading. The shares have tumbled 60 percent this year.
The incentives in the retirement offers include an option to roll over lump-sum severance payments into employees' 401(k) plans or Individual Retirement Accounts, according to Kudla of Mainstay Capital.
'The tax savings and potential for long-term growth with these options make this buyout offer even more attractive,' Kudla said.
US economic weakness is adding to the strain on new-car demand from rising gasoline prices, ramping up pressure on GM to find savings more quickly. GM has lost money the last three years and may extend that streak in 2008.
Chief Financial Officer Ray Young said on August 13 that GM was trying to speed up US$10 billion in cost cuts over two years so more of the benefits came in 2008 and early 2009 than originally planned. Under the savings plan, GM suspended its quarterly dividend, pared spending on product development and advertising, and delayed payments to a union retiree health fund.
The move is significantly greater than the statement by the largest United States auto maker on July 15 that it wanted to cut 20 percent of its salaried-worker costs in the US and Canada by November 1, Bloomberg News reported. Employees have 45 days to consider the proposal, the sources said.
'The timetable for this program is quite aggressive,' said David Kudla, chief executive officer of Mainstay Capital Management LLC in Michigan. CEO Rick Wagoner accelerated cost cuts as gasoline prices soared past US$4 a gallon this year, damping demand for GM's most-profitable trucks and contributing to a US$15.5-billion second-quarter loss. He is seeking US$1.5 billion in salaried-job savings to help weather the weakest US auto market in 15 years.
The latest payroll cuts come on top of a 26-percent reduction in GM's North American workforce to 133,000 employees, including salaried and hourly jobs, from the end of 2004 through June 30.
Spokeswoman Deborah Silverman confirmed that Detroit-based GM was discussing the packages with eligible workers. GM's 2,500 salaried workers in Canada aren't part of the offer. The auto maker has 32,000 salaried employees in the US.
The new salaried-worker savings are part of GM's plan to boost liquidity by US$15 billion through the end of 2009. GM wants to trim the US and Canadian salaried payroll by 15 percent, or about 5,175 jobs. GM fell 34 cents, or 3.3 percent, to US$10 last Friday in New York Stock Exchange composite trading. The shares have tumbled 60 percent this year.
The incentives in the retirement offers include an option to roll over lump-sum severance payments into employees' 401(k) plans or Individual Retirement Accounts, according to Kudla of Mainstay Capital.
'The tax savings and potential for long-term growth with these options make this buyout offer even more attractive,' Kudla said.
US economic weakness is adding to the strain on new-car demand from rising gasoline prices, ramping up pressure on GM to find savings more quickly. GM has lost money the last three years and may extend that streak in 2008.
Chief Financial Officer Ray Young said on August 13 that GM was trying to speed up US$10 billion in cost cuts over two years so more of the benefits came in 2008 and early 2009 than originally planned. Under the savings plan, GM suspended its quarterly dividend, pared spending on product development and advertising, and delayed payments to a union retiree health fund.
