General Motors to Cut Deeper

November 3, 2008

The Demise of Buick City

In the 1980's and 1990's General Motors exported its low milage car platforms to China. its reasoning was that they could make inexpensive autos with its partners there for the Chinese market. General Motors is broke today because of the "energy crisis" that it, in part, helped to create -- for the sake of making a fast dollar for the next quarter's dividend.

The Buick City plant complex was closed on June 29, 1999 and demolished in March 2002. The assembly plant was built by Buick before it was merged with General Motors.Buick City was the last Buick plant located in Flint, long a world center of automobile assembly. The last automobiles built at Buick City were the Pontiac Bonneville and the Buick LeSabre.

The Buick City automobile manufacturing complex in Flint, Michigan consisted of 235 acres in an industrial complex had elements built as far back as 1904. General Motors employment in the Flint, Michigan area peaked in 1978 at 77,000, with those Buick City workers reaching a high of 28,000 in the 1980s.

In July, 2007, a major shipping company proposed to turn the old Buick City site into a shipping center. Making use of the existing road infrastructure of I-75, I-69, I-475, and railroad sidings that once served the industrial complex. It was estimated that Buick City's land used as a shipping center could bring 600 new jobs and aide small businesses in the Flint area.

However, as the land that is left has been used for industrial purposes since 1904, the EPA toxic clean up requirements and their costs involved, may make reclaimation near impossible. So, what's left sits fallow while service business that profited from Buick City declines or stutters its doors in bankruptcy . . .

November 2, 2007

More Cuts in Store for General Motors

Reuters reports that General Motors said that it would eliminate shifts at three assembly plants in Michigan. After approving a new contract, including union paid heath care from a fund to be established, General Motors is now considering the cut of some 3,000 jobs refusing  to confirm or deny the total. General Motors  anticipated two years ago 30,000 job cuts as part of a plan of broad restructuring.

Spin-offs of parts manufacturing during the late 90's created a much smaller company and with the plant cuts announced; General Motors becomes an even smaller employer and company contracting in America while expanding in far Asia and other markets.

Unfortunately, General Motors and the other American auto manufacturers have adopted a philosophy that precludes a lot of home grown technology and cost effective manufacturing here in the American market for export. So, future announcements of further job cuts seem eminent in the future if the pattern continues.