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GM CEO to meet with U.S. lawmakers over job cuts

WASHINGTON — General Motors Co Chief Executive Mary Barra plans to visit Capitol Hill next week to discuss the company's plans to halt production at five plants in North America next year and cut up to 15,000 jobs, two congressional aides said on Friday. GM has come under harsh criticism from lawmakers from both major political parties, and from President Donald Trump, since Monday when it announced the biggest restructuring for the U.S. No. 1 carmaker since its bankruptcy a decade ago. Barra is expected to meet with lawmakers from Michigan and Ohio, where GM plans to shutter three plants, as well as senior leaders in Congress. GM did not immediately comment. Barra has been calling lawmakers this week to explain the decision to end production. Trump has threatened to revoke subsidies for GM. The Detroit automaker plans to halt production next year at three assembly plants: the Lordstown small-car factory near Youngstown, Ohio; the Detroit-Hamtramck complex in Detroit; and the Oshawa, Ontario, assembly complex near Toronto. It will also stop building several models now assembled at those plants, including the Chevrolet Cruze, the Chevrolet Volt hybrid, the Cadillac CT6 and the Buick LaCrosse. Additionally, GM plans to shutter the Warren transmission plant outside Detroit and a plant that makes electric motors and drivetrains outside Baltimore, Maryland. The Cruze compact car will be discontinued in the U.S. market in 2019, although GM may continue building it in Mexico for other markets, Barra said. Reporting by David Shepardson. Related Video:

GM recalls nearly 340,000 large SUVs to fix daytime running lights

General Motors has initiated a recall campaign for more than 338,000 of its large SUVs to address a potential defect in the onboard computer software that controls the daytime running lights. In some cases, the DRLs may remain on even when the headlights are enabled, which creates additional glare for oncoming drivers at night and fails to comply with federal regulations for headlight performance.  "GM determined that the body control module (BCM) software in these vehicles, under a combination of certain pre-conditions, may fail to deactivate the DRLs when the headlamps are on," GM's recall report said. "A regulatory assessment was conducted to evaluate whether the condition presented a potential noncompliance with the DRL activation requirements in S7.10.5, Table I-a. of FMVSS 108. On October 27, 2022, GM’s Safety Field Action Decision Authority (SFADA) decided to conduct a recall for potential noncompliance with this standard." GM says the recall covers the 2021 model year GMC Yukon and Yukon XL, 2021 Chevrolet Tahoe and Suburban, and 2021 Cadillac Escalade and Escalade ESV. The company says all models produced within that operating window include the improperly programmed body control module, meaning all vehicles within the recall population may exhibit the problem. The issue was discovered by a GM engineer during validation testing in August, prompting a deeper investigation and eventually leading to the recall itself.   The module's software can be updated by GM dealers, so it should be a quick fix for customers. Notifications will be mailed to owners in December.  Related video: Recalls Cadillac Chevrolet GMC Ownership Safety SUV Luxury

GM threatens predatory dealers with order cancellations, non-transferrable warranties

General Motors will launch a second salvo against misbehaving dealerships next week with a new set of policies aimed at curbing predatory markup strategies. With the new Chevrolet Corvette Z06, GMC Hummer EV SUV and Cadillac Escalade-V about to head into production, GM is putting its foot down yet again. Dealers that attempt to circumvent GM's markup restrictions by dealing directly with brokers or other resellers could find themselves in a particularly nasty spot, as the company is threatening to withhold future allocations and end the transferability of warranties when dealers facilitate the reselling of vehicles within 12 months.  While this may help curb some dealership chicanery, it's possible the real loser in such a deal could end up being the customer who unwittingly ends up with an un-warrantied vehicle. We suspect GM has accounted for that, but we'll have to wait until next week to find out exactly how these new policies will be enforced.