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GM Does It Again: Investing in Manufacturing

#Chevrolet #GeneralMotors


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At the risk of being somewhat redundant here, it is worth noting that today General Motors announced that a third shift will be added to the Lordstown Assembly Plant in Ohio for the production of the Chevrolet Cruise, which is set to launch in the third quarter of 2010.

According to Mark Reuss, president, GM North America, “This decision will mean about 1,200 new jobs, and increase the total employment at the Lordstown Complex to about 4,500. We expect that up to a third of the new jobs would be filled by Lordstown employees on layoff.

“The third shift is also expected to generate $47-million in additional payroll, $470,000 in local income taxes, and $1.4-million in state income tax.”

Hmm. . .is there any other industry that could add about 1,200 new jobs to a plant in the U.S. outside of auto?


GM invested approximately $350-million in Lordstown to retool the plant for the production of the 2011 Chevy Cruze, which Reuss described as “the first of a new family of Chevrolet small and compact cars designed to offer world-class quality, excellent fuel efficiency, and top safety ratings everywhere they compete.”

One important aspect of the car is that when fitted with a 1.4-lter turbocharged Ecotec engine, it gets great fuel economy.

Reuss noted, “We drove from Detroit, a distance of about 220 miles, on well under half a tank of gas.”

Just think: a corporate president paying attention to mpgs.

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