Tuesday, August 29, 2006

Has GM Finally Turned the Corner?

The Detroit News today has an article like it hasn't had in a while. It has an upbeat article on General Motors.

It seems that GM is absorbing the buyouts without any problems and the new hires are fitting right in. Good. The new hires are averaging $18/hr vs $27/hr. That is still a pretty darned good wage, but unfortunately it is only a short term job. Not so good.

The Orion TWP plant, where the story is centered is doing nicely and production on the G6 Sedan is actually increasing. Good.

They have copied training and production techniques from the Japanese. Good.

Do note that Mike Dunne, chairman of UAW Local 5960, is also optomistic that GM has turned the corner and there will be brighter days in the future. Usually I roll my eyes when the UAW talks, as you can only believe about a tenth of what they say, but I hope he is right. My employer does quite a bit of work for GM and I would like to see them stay around for a while. It's my bread and butter too.

Of course, a lot depends on how well the 07 models do.


Blogger The Conservative UAW Guy said...

I hope they're right, too.

9:45 PM  
Blogger Tim said...

"They have copied training and production techniques from the Japanese"
Shoptrat "the Demming method" of totalquality management isn't Japanese, it's American!
It's just that the Japanese took these principles to heart brfore thier American rivals.

10:49 PM  
Blogger Gayle said...

I don't know enough about this subject to comment intelligently so all I have to say here, Shoprat, is that because you are a favorite, for your sake I hope the 07 models are cutting edge technology :)

12:43 AM  
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9:29 PM  

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