General Motors is preparing to cut back production at an assembly plant in Detroit, and the decision will cost about 1,500 workers their jobs.
The Wall Street Journal reported that GM is shutting down the Detroit-Hamtramck plant for six weeks starting in November, and they plan to cut back productions by about 20 percent once the resume operations.
About 200 workers will lose their jobs once the plant starts up again and cuts back production.
GM shares are down 1.7 percent, and the company has considered ending production for various models and sedans recently due to sales being down.
Ford is in the same boat as GM in that regard. Consumers have bought trucks and SUVs at a higher rate than sedans and compact cars, so both companies have considered ending or scaling back production for certain lines of cars.
It wouldn’t be surprising if more companies are forced to make similar decisions to GM in the future when it comes to cutting back production.
(h/t Auto Blog)