2015 Chrysler 200 C on 2040-cars

Auto blog

Detroit automakers observing 8:46 of silence to mark Juneteenth

GM Executive Vice President of Global Manufacturing Gerald Johnson, right, talks with employees at the Fairfax Assembly & Stamping Plant in Kansas City, Kansas. (file photo - GM)     All three Detroit automakers are observing Juneteenth, a day commemorating the end of slavery, on Friday by observing 8 minutes and 46 seconds of silence, among other companywide efforts to advance the causes of social and racial justice and equality. Juneteenth marks the date, June 19, in 1865 when Union soldiers, led by Maj. Gen. Gordon Granger, arrived at Galveston, Texas, and announced the Civil War had ended and enslaved African Americans were to be freed. President Abraham Lincoln had officially ended slavery more than two years prior via the Emancipation Proclamation, but Union forces didn't reach Texas until that time, so there was virtually no enforcement. The 8:46 timestamp is significant because it was the length of time that a police officer in Minneapolis knelt on the neck of George Floyd during an arrest, ultimately killing him and sparking waves of protests across the U.S. and overseas. Autoblog asked automakers about their plans to mark Juneteenth, what they were doing to advance the cause of social justice for Black people, and how many African Americans they employ in both blue- and white-collar jobs. We heard back from GM, Ford, Fiat Chrysler and Honda but not from Nissan and Toyota. General Motors GM’s U.S. workforce is 17.2% Black and 69.2% white, according to its most recent corporate Diversity and Inclusion Report. GM's total global employment is 173,000, and it says women and minorities represent 40% of its team of corporate officers. For reference, the Census Bureau says African Americans make up 13.4% of the U.S. population of roughly 328 million people. White people constitute 76.5%. As previously reported, GM planned to pause production at its factories on each shift today and observe silence for 8 minutes and 46 seconds. The company will also have a digital countdown clock atop the GM's headquarters in Detroit for the moment of silence. Additionally, Chairman and CEO Mary Barra has said she will lead a new Inclusion Advisory Board made up of people from within and outside GM to suggest areas for change and hold the company to its commitments to fight injustice and racial inequality.

Former Chrysler dealers could reopen under appeals court ruling

Years after the bankruptcies and subsequent bailouts of Chrysler (now FCA) and General Motors, the automotive industry is still seeing legal decisions about them come through the courts. The latest ruling from a US appeals court has given 4 of the 789 dealers that Chrysler closed in its Chapter 11 process one less hurdle towards reopening. Following the bankruptcy, 105 of the shuttered dealers went through an arbitration process in hopes of reopening, and 32 won their arguments. However, a victory in that undertaking didn't necessarily mean that the stores could reestablish themselves. For these three showrooms in Michigan and one in Las Vegas, state laws allowed nearby competitors from the same automaker to stand in the way of restarting, according to Automotive News. This problem brought yet another lawsuit, and a US district court found that the arbitration decisions did not overrule state laws. The latest appeals court ruling overturned that decision. However, as with many legal proceedings, the process for reopening for these dealers still isn't exactly easy. The latest decision only covers the nearby dealers' ability to protest; it doesn't mandate FCA actually to open the stores again. According to a statement from Michael Palese of FCA legal communications to Automotive News, the ruling, "did not provide for reinstatement of the dealers who prevailed in arbitration, but only gave them a right to a 'customary and usual' letter of intent." It means for these showrooms to start selling again, now they need to work things out with Chrysler's new owner.

Long winter means most automakers won't curb summer shutdown

A lot more happened during this latest brutal winter than days of snow and Netflix binges. Automotive sales took a battering. After all, going out car shopping when it's eleventy-billion degrees below zero isn't a good time.
Because of this Old Man Winter-induced sales slump, inventories are abnormally high as we head into the summer car buying season. That's led some analysts to predict that automakers will be more inclined to idle factories this summer, in a bid to trim some of the built-up inventory. Traditionally, American manufacturers offer up a two-week break in the middle of summer, although the burgeoning sales of the past few years have seen this practice become less popular.
"We're likely not going to see an acceleration this year," Jeff Schuster, a senior vice president at LMC Automotive, told The Detroit News. "We'll see production increases in 'pockets' but I don't know if it will be as widespread as in recent years."