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GM struggles to sell small cars, plans to lay off 2,084 employees at two plants

Due to low demand for some of its vehicles, General Motors plans to cut 2,084 jobs at its assembly plants in Lordstown, OH and Lansing, MI. At the same time, the automaker also announced plans to invest approximately $900 million in three of its facilities – the Toledo Transmission Operations in Ohio, Bedford Casting Operations in Indiana, and Lansing Grand River in Michigan - for future products. GM will discontinue the third shift at both the Lansing Grand River plant and the Lordstown, OH plant. The Cadillac ATS, Cadillac CTS, and Chevrolet Camaro are made at the automaker's plant in Michigan, which currently has 2,700 employees. The move to eliminate the third shift affects 810 hourly workers, as well as 29 salaried employees, starting on January 16th. The plant in Lordstown, OH currently has 4,500 employees and makes the Chevrolet Cruze sedan. The plan to discontinue the third shift will affect 43 salaried workers and 1,202 hourly employees and will start on January 23rd. As Fortune points out, sales of the Cruze are down 20 percent through October, while sales of the Cadillac ATS and CTS were down 17 percent through the same period of time. In addition to cutting the third shift at both assembly plants, the automaker plans to invest a total of $900 million between three of its facilities for unnamed future products. GM's Toledo Transmission Operations will receive $667.6 million, the Lansing Grand River Assembly plant will receive $211 million, and the automaker's Bedford Casting Operations will get $37 million. Last year, GM cut roughly 500 jobs from its Orion Township factory due to slow sales of the Chevrolet Sonic and Buick Verano, with surging crossover and SUV sales as the most likely culprit. With GM posting much healthier sales figures for the Chevrolet Equinox and Cadillac XT5 compared to the ATS, CTS, and Cruze, it looks like compact SUVs are to blame for this year's layoffs as well. Related Video: News Source: Fortune, General MotorsImage Credit: REUTERS / Rebecca Cook Hirings/Firings/Layoffs Plants/Manufacturing Cadillac Chevrolet GM Coupe Sedan Lordstown Ohio

NHTSA probes 2010 Chevy Tahoe for side airbag issue

After a person was killed in a rollover accident in a 2010 Chevrolet Tahoe in Texas in 2011, the National Highway Traffic Safety Administration is considering whether to conduct a deeper investigation into a potential problem with the model's side airbags. According to the petition filed with the government agency, the SUV's rollover side curtain airbag deployed in the accident, but the design allegedly still allowed some of the occupants in the second- and third-row seats to be ejected from the vehicle. One of them died in the crash. Based on NHTSA's preliminary review, this is the only report of this type of incident happening in a 2007-2015 Tahoe or GMC Yukon. "GM investigated the complaint that is the basis of the petition and found no defect trend," company spokesperson Alan Adler said to The Detroit News, and said the automaker will cooperate with the feds. Still, "a defect petition has been opened to evaluate the issue and make a grant or deny decision," according to NHTSA. Depending on the agency's findings, this could lead to a full investigation and possible recall affecting an estimated 58,000 vehicles. INVESTIGATION Subject : Rollover Side Curtain Air Bags Date Investigation Opened: JUN 11, 2015 Date Investigation Closed: Open NHTSA Action Number: DP15004 Component(s): AIR BAGS All Products Associated with this Investigation Vehicle MakeModelModel Year(s) CHEVROLET TAHOE 2010 CHEVROLET TAHOE HYBRID 2010 Details Manufacturer: General Motors LLC SUMMARY: The Office of Defects Investigation (ODI) has received a petition requesting an investigation of alleged defects that can cause occupant ejections during rollover crashes in certain General Motors vehicles. The petition alleges the defects allow second and third row occupants to be ejected despite the deployment of rollover side curtain air bags. The petition cites a 2011 Texas crash involving a model year 2010 Chevrolet Tahoe, which allegedly resulted in multiple occupants to be ejected. One of the ejected occupants was fatally injured. ODI's preliminary review of its consumer complaint data found no similar reports of occupant ejections on 2007-2015 Chevrolet Tahoe and GMC Yukon vehicles. ODI also reviewed Early Warning Reporting data submitted by General Motors. A defect petition has been opened to evaluate the issue and make a grant or deny decision.

2022 Chevy Suburban, Tahoe, GMC Yukon, Cadillac Escalade up another $1,600

The 2022 Chevrolet Tahoe and Suburban, the 2022 GMC Yukon and the 2022 Cadillac Escalade have all gone up by $1,600. The GM profit and loss department added $1,500 to the MSRP for each of the full-sized SUVs and $100 to their destination charges, that destination fee now $1,795 for each vehicle. It's not an inconsequential bump; however, considering where the trucks were priced at launch, and everything that's happened since, the latest retail prices don't seem that bad. Take the Suburban — in February 2020, Chevrolet practically carried over pricing for the truck with a revamped interior and independent rear suspension, starting it at $50,295 after destination. After this latest increase, the 2022 Tahoe LS in two-wheel drive costs $55,590, after destination.  The delta between the 2021 Suburban at launch in March 2020 and the current model is a little grander compared to the Tahoe, like the SUV itself. Back then, it started at $52,295, the same price as the outgoing model. After this third price increase in the past year, the 2022 Suburban LS in 2WD starts at $61,290 after destination. GM Authority says the 2023 Tahoe and Suburban are reportedly headed down production lines in the middle of July. The biggest addition to both models will be the availability of Super Cruise, which is already available on the sister SUV, the Cadillac Escalade. The hands-free driving assistance feature can only be optioned on the Premier and High Country trims. It costs $2,500 to put Super Cruise on the Escalade. GM hasn't divulged the feature's price yet for the Chevy twins; that's likely to come when the automaker announces 2023 Tahoe and Suburban MSRPs, so beware of more potential price increases. After that, there's a heavy refresh planned for the 2024 model year, including a new instrument panel design that looks like it replaces the current gauge cluster with a large, freestanding screen.  The Yukon's entry-level price goes up to $57,590 for the SLE trim turning the rear axle.   The Cadillac Escalade's second MSRP bump takes it to $81,235 for the Luxury 600 trim in 2WD, and $84,235 for the extended ESV model in the same trim. The price creep hasn't stopped Escalades from pulling off dealer lots almost as soon as they're delivered, sales for the first quarter of the year totaling 10,505 units, trouncing domestic and foreign competition. Related video: