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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.

2022 GMC Hummer Edition 1 weighs 9,063 pounds

From the beginning, the Hummer line of vehicles has been synonymous with the phrase, "absolute unit." The M998 Humvee turned to civilian use as the Hummer H1 came with a curb weight of 7,560 pounds depending on configuration. The much more urbane Hummer H2 didn't sacrifice much of those gains, putting about 6,615 on the scales. Let us not forget that the behemoth gravitational pull and square-jawed mass were what every Hummer buyer wanted. So, starting with the brand values and customer demand, and adding the fact that electric vehicles are substantially heavier than their ICE counterparts, no one should be surprised that the 2022 GMC Hummer Edition 1 weighs 9,063 pounds. That's just one of the substantial figures GMC included in a self-certification filing submitted to the U.S. Environmental Protection Agency, the document rooted out by Car and Driver. Last year GMC told us the Hummer would weigh 9,046 pounds, which proves again the Freshman 15 (or 16) is unavoidable.  Loaded up with humans and their accessories, the truck's gross vehicle weight rating (GVWR) comes in at 10,550 pounds. It takes a few other big numbers to keep that kind of tonnage on the go. The Ultium battery weighs 2,923 pounds. With a 617-amp-hour capacity at 400 volts, total capacity comes in at 246.8 kWh, specific energy at 158 Wh/kg. Usable capacity is about 85% less, at 212.7 kWh. For the time being, these numbers put every other pack in a production vehicle in the shade. That gargantuan chemical plant in the Hummer's floor powers a 329-mile range the same way a giant fuel tanks feed a truck that gets 8 miles to the gallon. The miles per gallon equivalent figures GMC submitted to the EPA are 51 MPGe city, 43 MPGe highway, 47 MPGe combined. Motor Trend questioned whether GM applied the correction factor used for window sticker numbers; if not, the standard 0.7 correction drops the MPGe specs to 36 city, 30 highway, and 33 combined. However, trucks with a GVWR beyond 8,500 pounds don't need to display fuel economy figures on their window stickers, so don't expect to see any such details on dealer lots. For comparison, the Rivian R1T Launch Edition weighs about 7,000 pounds, and fits a 128.9 kWh battery good for an estimated 314 miles estimated at 70 MPGe.

2024 GMC Acadia drops lowest trim, entry price starts at $43,995

GMC unveiled the third-generation Acadia at last summer's Detroit Auto Show, loading as many instances of "More" as it could. The all-new midsizer is longer, taller, with more room for occupants and cargo, more standard features, and a more powerful engine with a higher tow rating. The exterior dimensions return the Acadia a footprint closer to the SUV's first-gen proportions, that SUV about 201 inches long. For the 2024 version, overall length stretched another 10.6 inches to 205 inches, swallowing a wheelbase that grew 8.4 inches to nearly match that of the related Chevrolet Traverse, and overall height climbed 3.2 inches — except on the AT4 trim, which sits another inch higher thanks to a suspension lift. Plumping the exterior makes more room for occupants and cargo, GMC saying second-row passengers enjoy 27% more seat room while cargo gets 80% more space, 12.8 cubic feet formerly compared to nearly 23 cubes now. The new engine is a turbocharged 2.5-liter four-cylinder making 328 horsepower and 325 pound-feet of torque, outdoing the 2023 Acadia's retired, turbocharged 2.0-liter four-cylinder that made 228 hp and 258 lb-ft, and the retired 3.6-liter six-cylinder that made 310 hp and 270 lb-ft. It shifts through an eight-speed automatic, a loss of one cog compared to the 2023 Acadia transmission. The additional gumption means gains for the tow rating, now maxed at 5,000 pounds. That's anywhere from 1,000 to 1,700 pounds more than before. The new Acadia also comes standard with new ADAS features like enhanced lane keep assist, front pedestrian and bicyclist braking, and rear park assist, and offers Super Cruise. Early pricing info reveals that "More" extends to the window sticker, which should surprise no one. These aren't minor bumps, either. Assuming destination holds steady at $1,395, MSRPs for the 2024 Acadia and their differences from 2023 are: Elevation: $43,995 (New trim) AT4: $51,395 ($6,600) Denali: $55,695 ($6,195) Some small print: These figures pay for front-wheel drive except on the AT4, which is AWD only. Getting AWD on those other trims costs $2,000, same as now. The 2023 Acadia started with an entry-level SLE trim that cost $38,195, and that's been booted from the lineup, so too the SLT trim that started at $42,495. The 2024 Acadia Elevation brings GMC's familiar trim name into the Acadia ranks, its MSRP representing a $5,800 rise over the former entry price for the Acadia line.