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GM laying off 510 amidst slow Cadillac, small car sales

General Motors is laying off about 510 workers from two factories beginning in January, and it could be months before the automaker needs some of that latent capacity to come back on line. A combination of poor sales and high dealer inventories are prompting the cutbacks, according to Automotive News.
The largest changes come at GM's Lansing Grand River plant, where the Cadillac ATS and CTS are made. An entire shift of about 350 workers is being laid off, but the automaker hopes to find positions for some of them at other nearby factories. The decision leaves just a single shift building vehicles there. According to Automotive News, the move is partially spurred by Johan de Nysschen's plan to make Cadillac a more exclusive brand.
The lost shift will likely return for production of the next-generation Chevrolet Camaro at the plant, according to the report, but GM isn't saying when that will be. A previous announcement from the Canadian Auto Workers union indicated that the Oshawa, Ontario, factory would lose the coupe in late 2015 or early 2016.

Cadillac issues stop sale on ATS to recall 82k units

Cadillac is issuing a recall on 82,620 examples of the 2013-2016 ATS worldwide to fix a compliance issue with the sunroof controls. Until a service bulletin goes out to take care of things, there's also a stop sale on the luxury compact in the United States, The Detroit News reports. Of the affected models, 63,665 are in the US, according to a statement sent to Autoblog, and 7,922 of them are in Canada. The problem is actually the same issue as a recall on nearly 59,000 examples of the 2013-2015 ATS in the US in February. In them, the controls for the tilt and slide of the roof aren't recessed enough to meet government standards for the force necessary to operate the buttons. The Feds believe that someone could accidentally activate the auto-close and potentially be at risk. At the time, Cadillac dealers installed a new trim plate to add the needed clearance. In the latest update, the company is adding the 2016 model year, and according to The Detroit News, 70 percent of the cars from the original campaign also need another new trim plate. Unsurprisingly for such a minor defect, there are no known crashes, injuries, fatalities, or customer complaints related to this issue, according to the announcement by General Motors. Cadillac ATS Statement: General Motors is recalling 63,665 Cadillac ATS sedans in the United States from the 2013-2016 model years because the power-operated roof panel systems on these vehicles will auto-close when the non-recessed portion of the "Slide" or "Tilt" switches are pressed and the roof panel is open. Because these switches are not fully recessed, they can be actuated with less force than required to comply with applicable federal standards. GM knows of no crashes, injuries or fatalities related to this issue and has received no customer complaints. The total population of the recall including Canada, Mexico and exports is 82,620. Transport Canada Recall # 2015322 Recall Date 2015/07/21 Notification Type Compliance Mfr System Electrical Manufacturer Recall Number 15568 Units Affected The number of vehicles or components affected by the recall. 7,922 Category Car Recall Details Certain vehicles equipped with power-operated sunroof system may fail to conform to Canada Motor Vehicle Safety Standard (CMVSS) 118 - Power-Operated Window, Partition and Roof Panel Systems.

Cadillac's Johan de Nysschen clarifies a few points on the brand's future

Last week, Motor Trend ran coverage on a journo roundtable with Cadillac president Johan de Nysschen. During the roundtable, de Nysschen cited a few reasons for the decline in sedan sales, including gas prices, "young consumers" — read, millennials — less interested in driving dynamics than lifestyle accessories, and the state of U.S. infrastructure. Jalopnik homed in on the last two reasons, and those became the story, including here in our post on the roundtable. So de Nysschen called Jalopnik to add more context. The original reaction pieces painted de Nysschen's rationales as an excuse for sporty sedans not selling well, when the issue is Cadillac's sporty sedans not selling well. His main clarification: "I wasn't advocating the idea that the world is black and white, that if you're a young buyer a millennial or a teenager that you don't enjoy driving." On that note, it would be ridiculous to deny millennial and sedan-segment bugbears; de Nysschen has market research and the industry-wide, rabbit-like crossover breeding program to back him up. Yet even as he touted the success of the XT5, noting that it's "the third-best-selling luxury nameplate in the U.S. after the Lexus RX, and the Mercedes C-Class," he could add, "But the irony is not lost on me that the C-Class is a sedan." The circumstances laid out in the follow-up piece inject more likely color into the situation: the brand's onetime, singleminded focus on the U.S., followed by a singleminded focus on China that left the U.S. market wanting for attention. We could add to that: years of lackluster products and awful attempts at volume and brand engineering under the old GM at the same time that downsized premium luxury products, crossovers, and SUVs began their rocketship trajectories; trying to live off the Escalade success; and the carmaker's desire not to offend its older, traditional buyers while concurrently wooing "coastal influencers." De Nysschen also acknowledged that Cadillac interiors aren't where they need to be, saying, "We recognize that's where we want to improve." The result, as de Nysschen put it, "We're playing with the hand that we've been dealt.