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5 reasons why GM is cutting jobs, closing plants in a healthy economy

DETROIT — Even though unemployment is low, the economy is growing and U.S. auto sales are near historic highs, General Motors is cutting thousands of jobs in a major restructuring aimed at generating cash to spend on innovation. It's the new reality for automakers that are faced with the present cost of designing gas-powered cars and trucks that appeal to buyers now while at the same time preparing for a future world of electric and autonomous vehicles. GM announced Monday that it will cut as many as 14,000 workers in North America and put five plants up for possible closure as it abandons many of its car models and restructures to focus more on autonomous and electric vehicles. The reductions could amount to as much as 8 percent of GM's global workforce of 180,000 employees. The cuts mark GM's first major downsizing since shedding thousands of jobs in the Great Recession. The company also said it will stop operating two additional factories outside North America by the end of next year. The move to make GM get leaner before the next downturn likely will be followed by Ford Motor Co., which also has struggled to keep one foot in the present and another in an ambiguous future of new mobility. Ford has been slower to react, but says it will lay off an unspecified number of white-collar workers as it exits much of the car market in favor of trucks and SUVs, some of them powered by batteries. Here's a rundown of the reasons behind the cuts: Coding, not combustion CEO Mary Barra said as cars and trucks become more complex, GM will need more computer coders but fewer engineers who work on internal combustion engines. "The vehicle has become much more software-oriented" with millions of lines of code, she said. "We still need many technical resources in the company." Shedding sedans The restructuring also reflects changing North American auto markets as manufacturers continue to shift away from cars toward SUVs and trucks. In October, almost 65 percent of new vehicles sold in the U.S. were trucks or SUVs. That figure was about 50 percent cars just five years ago. GM is shedding cars largely because it doesn't make money on them, Citi analyst Itay Michaeli wrote in a note to investors. "We estimate sedans operate at a significant loss, hence the need for classic restructuring," he wrote. The reduction includes about 8,000 white-collar employees, or 15 percent of GM's North American white-collar workforce. Some will take buyouts while others will be laid off.

2015 Chevrolet SS Review [w/video]

The Chevrolet SS is one of the best cars no one's buying. It's a Bowtie-badged version of the Australian Holden Commodore with a 6.2-liter LS3 V8 under the hood. It's got a six-speed manual transmission, General Motors' sophisticated Magnetic Ride Control suspension, and rear-wheel drive. It's a fullsize sedan that comes with every possible amenity you could want. And it's less than $50,000. Chevrolet sold 2,479 SS sedans in 2014. That means it was outsold by every other vehicle the automaker offers, even the police fleet-only Caprice. (I'm only talking about cars that were on sale for the full 2014 calendar year, of course.) The aforementioned manual transmission and MRC suspension were added for 2015, but it's not clear if that's helping. The SS is down 7.7 percent through June of this year, compared to 2014's numbers. But hey, at least it's finally outselling the Caprice. What a damn shame. Granted, GM only planned to sell a few thousand of these each year, but as enthusiasts, this a car we should be gobbling up. It's the closest we'll get to a four-door Corvette, and with the 2015 model year updates, that statement is more true than ever. People often mistook the SS for a Malibu. "Is that a rental car?" Yikes. Aside from the manual gearbox and magnetorheological suspension, the SS is largely unchanged through its year and a half of sales. But that's no bad thing – we were thoroughly impressed with the SS when we first tested it at the end of 2013. Outside, the SS looks the same, which is a bummer. It is not an attractive car, and the chrome brightwork on the side vents and wheels doesn't help. That said, the sedate styling puts it under the radar – more so than competitors like a Dodge Charger 392, anyway. But maybe it's too under the radar. Even in the new, "Some Like It Hot Red" color (yes, really), photographer Drew Phillips reports that people often mistook the SS for a Malibu. "Is that a rental car?" Yikes. Exterior styling is our only gripe with the SS. Moving inside, there's a lot to like. This is easily one of Chevy's nicest, well thought-out interiors (thanks, Holden), with premium materials and tons of equipment. The Chevy MyLink infotainment system carries over, and now features 4G LTE and wifi connectivity. The touchscreen is a bit slow to respond, but otherwise, it's bright, well organized, and packed with functionality. This is easily one of Chevy's nicest, well thought-out interiors.

Camaro chief: 'rock-star' 4-cylinder set for Mustang fight

It was inevitable, the 2016 Chevy Camaro had to have a four-cylinder engine. The archrival Ford Mustang packs a spunky 2.3-liter EcoBoost four-banger, and everyone from BMW to Subaru uses four-cylinders to great effect to power their sports cars. Now it's Chevy's turn. Again. The Camaro ran the infamous Iron Duke four-cylinder with 88 to 92 horsepower in the 1980s. It was a fuel-economy play at a time when performance was not a priority. After the 1970s muscle-car era, output even for the V8s didn't top 200 hp again until the mid-'80s. Thankfully for enthusiasts, things have changed dramatically in the last 30 years. The gen six Camaro will offer a 2.0-liter inline four-cylinder with 275 horsepower. It's the standard engine, slotting below the 335-hp V6 and the 455-hp V8. But don't mistake the new I4 for an Iron Duke encore. Camaro chief engineer Al Oppenheiser called it a "rock star" and said cars equipped with it feel lighter than V6 models. The four-cylinder (295 pound-feet at 3,000-4,500 rpm) also summons more torque in quicker fashion than the V6 (284 lb-ft at 5,300 rpm). Chevy expects the Camaro to hit 60 miles per hour in "well under six seconds," according to press materials. The Mustang EcoBoost (310 hp, 320 lb-ft) clocks times in the low to mid five-second range. "We're not doing it just so we have one," Oppenheiser said. "We're not doing it because like in gen three you're forced to do it because of fuel economy. We're doing it because it belongs in the car. It has a distinct character." Speaking with Autoblog recently at the Detroit Grand Prix racecourse on Belle Isle, Oppenheiser said he expects the I4 to attract a younger crowd to the Camaro and will put up stiff competition against the V6 for sales. "I've read blogs where younger folks won't buy a Camaro because it doesn't have a 2.0-liter turbo or a turbocharged four-cylinder," he said. "So we're going to excite them." While we talked a lot about four-cylinder engines, Oppenheiser also elaborated on the V6 (It's pretty damn good, too. We drove it.) and the new Alpha platform that the Camaro borrowed from Cadillac. Here's the rest of our edited conversation. Autoblog: Talk a little bit about the four-cylinder – the first turbo four-cylinder ever for Camaro. Do you have any idea what the take rate's going to be? Al Oppenheiser: I think it's going to surprise a lot of people. It's actually a fun car to drive. It's got a really good balance of turbo noise and exhaust note.