Thursday, March 26, 2009

Government Motors (GM)

The GM said Thursday that 7,600 U.S. factory workers have volunteered to leave the company under a job-buyout program, fewer than GM had hoped. Each worker will receive a check for $20,000 and a voucher to purchase a GM product worth $25,000.

Under terms of the union job buyout plan, GM last month started offering early-retirement incentives to 22,000 of its 62,000 UAW members as part of the company's efforts to dramatically downsize its global operations. Company officials said last month they would be "pleased" if as many as half of those offered the deal would take it, but just 7,600 did, or 34.5%. Thursday's announcement brings GM's total reduction in hourly workers through buyouts to roughly 60,500 since 2006.

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