General Motors Co. plans to cut 800 tasks in Brazil, after revealing less than a month ago that it will invest another $1.9 billion in the South American nation. The automaker reached an arrangement with a union at a plant near Sao Paulo to put the decreases on hold, after a two-week strike. The 800 workers will be on paid leave for five months, with GM and the government each paying half of their wages, business spokesperson Nelson Silveria stated. They most likely will be released after that period due to the fact that of weak need, he stated. Automobile sales in Brazil toppled 20 percent this year through July, including a 26 percent slide for GM, according to data assembled by Bloomberg. Yet GM on July 28 said it would double its spending in the nation to $3.8 billion for 2014 through 2019 to establish new Chevrolet automobiles. Brazil is in the middle of its deepest financial and political crisis in a generation. Opposition lawmakers and some in the general public are requiring the resignation of President Dilma Rousseff. Joblessness is at a five-year high and Moody’s Investors Service has said its economy will contract by 2 percent this year. Reuters on Monday reported GM’s contract at the Brazilian plant. Other vehicle makers are also scaling back. Daimler AG stated Monday that it’s getting rid of 1,500 jobs at a Brazilian truck plant after industrywide sales of those vehicles fell 44 percent in this year’s first half. Ford Motor Co. has been cutting production and temporarily closing factories in Brazil this month as need dries up. Ford said it closed a truck plant for 9 days and an automobile plant for three days in Sao Bernardo do Campo recently. The car manufacturer utilizes 8,256 employees at that complex, according to its site. Earlier this month, Ford stopped production for less than a week at its vehicle and engine plant in Camacari, where it has 8,753 employees. Both shutdowns were “to adjust production levels to satisfy existing market need,” Karl Henkel, a Ford spokesperson, said in a statement …
See all stories on this topic
Over 60 million photos, vectors, illustrations, and more … See all stories on this topic
You may know another individual or company that needs auto, truck, or diesel repair... or even on site fleet service. Please tell your friends. It's much appreciated!