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Delphi cutting 8,500 jobs; about 3,500 in U.S.
The Flint Journal ^ | Friday, December 10, 2004 | Todd Seibt

Posted on 12/10/2004 9:51:54 PM PST by quantim

Delphi Corp. has the hatchet out again.

The world's largest automotive supplier, which even now is razing a former Flint plant that last employed 400 hourly workers, announced today it is cutting 8,500 jobs

About 3,000 of those will be in the United States, the company said.

Delphi says the moves are necessary because of ongoing global price pressures, cutbacks in General Motors production schedules and lingering issues with its high-wage UAW-represented work force in the United States.

In addition, Delphi is tossing three more troubled sites into its internal Automotive Holdings Group. And it might put more in the group, the company said.

That's the same place the former Delphi Flint West was - just before demolition. Plants in the group are basically under orders to fly or die - become profitable or face closing.

Delphi's last remaining large-scale local operation - Delphi Flint East - is also in the holding group. About 2,850 hourly employees work there, represented by UAW Local 651.

Some of those employees now include about 150 former West workers who transferred to East.

Steve Grandstaff, shop chairman at UAW Local 651, said workers have been "on pins and needles" because of cutbacks in GM production schedules.

"This is not fun, what we are going through right now," he said today. With about 80 skilled trades members in a Jobs Bank, Local 651 and Delphi management were whittling through the bank, trying to get workers back into jobs.

Any production cutbacks could tip that apple cart over, he said, dumping workers back into the bank.

Delphi said in a media statement today that despite previous employee cuts that slashed about 6,000 jobs from its ranks, more need to be cut. That's because of slowing production orders and the resultant slide in revenues.

Delphi also said it is wrestling with its "legacy" costs - the price it pays for pensions and health care costs associated with the thousands of UAW workers it once employed.

Delphi is hoping to cut more U.S. jobs through retirement incentives and the "flowback" of Delphi workers to GM plants.

Both of those procedures were used to trim Delphi West's workers, many of whom took buyouts or shifted to other area GM plants.

But with GM cutting production at many plants, it's unclear how many more "flowbacks" GM can absorb.


TOPICS: Business/Economy; US: Michigan
KEYWORDS: delphi; flint; generalmotors; jobs; layoffs; uaw; uawlocal651
high-wage UAW-represented work force in the United States.

It seems the left's idea of socialism's model isn't working here.  Although the loss of jobs is painful and I don't relish posting this article, get ready for another onslaught from low-budget propagandist film director fat swine Michael Moore.  After all, it was here in Flint that he launched his career as an America hating leftist. 

1 posted on 12/10/2004 9:51:54 PM PST by quantim
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To: quantim

A rich irony though is the Red China model of quasi slave labor is working. I much as I BITTERLY disagree with Bush on his view on trade, the DUmmies are not willing to admit this, it was the Clinton admin who put the structure in place for things such as NAFTA and the WTO that now make it difficult for the US to prevent dumping and to have any real fair trade policy because the WTO is stacked with delegates(if this is the correct term) who are anti-american.

As much as Bush does fumble on this issue, it was Clinton who pushed this BS into law.


2 posted on 12/10/2004 9:57:15 PM PST by RFT1
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To: RFT1

Nope...NAFTA was G.H.W. Bush's baby...
Clinton just did what he was supposed to do.....Clinton was the sock puppet on NAFTA


3 posted on 12/10/2004 10:15:32 PM PST by joesnuffy (Moderate Islam Is For Dilettantes)
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To: joesnuffy

But Clinton still takes credit for it -- so he can take the blame also. But yes Clinton was just a puppet for NAFTA.


4 posted on 12/10/2004 11:20:17 PM PST by FITZ
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To: joesnuffy

Correct. It was GWH Bush who put this mess together.

That's why he didn't receive my vote when he ran for reelection.


5 posted on 12/11/2004 7:49:04 AM PST by EEDUDE (Time flies like an arrow. Fruit flies like a banana.)
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