By Kalea Hall and David Shepardson
Detroit (Reuters) -GM temporarily prohibits the production of its electric commercial van in its assembly plant in Ontario due to slow sales, said the company and the union representing workers.
The Detroit car manufacturer temporarily dismissals 1,200 workers at the factory, according to Unifor, the union representing workers. The closure is not linked to the recently imposed car rates, said the company.
GM said it brought “operational adjustments and employment to balance stocks and align production schedules with current demand” at the truck assembly plant where it makes electric trucks from Chevrolet Brightdrop.
The layoffs will start on April 14, according to the union, workers returning in May for limited production. Production will temporarily cease until October 2025. During arrest times, GM said that it planned to reorganize the factory to prepare the production of Bright-Drop vans of the 2026 model year.
When the production resumes in October, the factory will operate on a single quarter of work, which will lead to the indefinite layoff of nearly 500 workers, the union said.
The automaker said in a statement that “remained attached to the future of Bright Drop and the Cami factory would be attached to the future and support the employees thanks to the transition. This adjustment is directly linked to the response to the market demand and the rebalancing inventory. The production of Bright Dhat and EV Battery will remain at Cami.”
Unifor Lana Payne’s national president in a statement called The Move “a crushing blow to hundreds of families of workers in Ingersoll and in the surrounding region who depend on this plant”.
“General Motors must do everything in its power to mitigate job loss during this slowdown, and all levels of government must intensify to support Canadian car workers and Canadian manufacturing products,” Payne said.
GM said sales of 274 Bright-Drop vortes in the first quarter, against the 256 reported in the first quarter of 2024.
Pierre Poilievre, a leader of the Conservative Party in Canada who presents himself for the Prime Minister, said in an article on X that he was determined to protect Canadian car workers.
“We will keep them working, so that they can keep their work while we are fighting through this mess,” wrote Hairyvre. “A conservative government pushes hard to put an end to these prices and will obtain a rapid but equitable agreement which protects our sovereignty and our economy.”
(Report by David Shepardson to Washington and Kalea Hall in Detroit, edition of Franklin Paul and Bill Berkrot)
