BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[General Motors cuts another 5,000 jobs, stops contributions to 401k plans]]>http://www.bloggingstocks.com/2008/10/24/general-motors-cuts-another-5-000-jobs-stops-contributions-to-4/http://www.bloggingstocks.com/2008/10/24/general-motors-cuts-another-5-000-jobs-stops-contributions-to-4/http://www.bloggingstocks.com/2008/10/24/general-motors-cuts-another-5-000-jobs-stops-contributions-to-4/#commentsFiled under: , ,

General Motors Corporation (NYSE: GM) just keeps on announcing one run of layoffs after another. The U.S. automaker said this morning that it would give pink slips to another 5,000 employees in addition to ceasing contributions to some retirement plans for certain employees (which employees was not clear). The 5,000 layoffs would be for salaried positions only, similar to Chrysler's announcement.

With rumors swirling that GM will actually buy Chrysler's auto operations, both automakers were completely unprepared for a steep drop-off in profit-heavy vehicles like SUVs and trucks as well as a large wave of consumer spending cutbacks that are affecting all industries as the U.S. charges through a recession.

GM will ultimately save a large wad of cash by slicing through its salaried worker ranks and by cutting retirement plan contributions, but it won't be enough to help it bury its huge liquidity problem. GM must be having cartloads of Tums and Alka-Seltzer trucked in in lieu of it examining every possible way to save a single penny from any corner it can. GM CEO Rick Wagoner told Bloomberg that "The global economic outlook remains very concerning... as a result, actions are being taken throughout GM's global operations to address our increasing need to conserve cash.'' Perhaps there's a $20 billion dollar bill under GM's mattress? It could use it.

General Motors cuts another 5,000 jobs, stops contributions to 401k plans originally appeared on BloggingStocks on Fri, 24 Oct 2008 17:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>General MotorsGMGM LayoffsGM unionsinthenewsFri, 24 Oct 2008 17:00:00 EST