Corporations Engage in a High Profile Round of Layoffs
posted by Keyona Smith | December 5, 2018 | In NewsWhile Amazon is one corporation looking for expansion and deciding its new headquarters will be in Arlington, VA and Long Island City, NY, other companies such as General Motors, Orano Federal Services, and Duke Energy seem to be moving in a different direction.
According to USA Today, Detroit-based automaker is ending production in two plants in Michigan, Ohio, and Ontario, Canada by the end of 2019. The Buick Lacrosse, Cadillac CT6, Cadillac XTS, Chevrolet Cruze, Chevrolet Impala and Chevrolet Volt will also no longer be created, all for sales-performance reasons. GM isn’t getting rid of all its passenger cars. It will be keeping the Chevy Malibu, Chevy Bolt, Cadillac CTS and Buick Regal.
According to CNN, North Americans favor SUVs, crossovers, hatchbacks and trucks. The consumer adjustment is causing massive layoffs that will affect over 5,000 GM employees. CEO Mary Barra is seeking to reposition GM for a future defined by self-driving cars, ride-sharing networks and electric vehicles. The cuts will make GM “lean and agile” as the company aims to “lead in autonomous and lead in electric vehicles,” Barra said.
Orano Federal Services is a company that provides services for nuclear facilities for the U.S. Department of Energy and its subcontractors, according to Charlotte’s Business Journal. 15 workers, mostly engineers, were notified by a Worker Adjustment and Retraining Notification filing that they will be permanently laid off as a result of a contract ending with the MOX Fuel Fabrication Facility nearby in South Carolina. The affected employees, previously based at 10101 David Taylor Drive in Charlotte, have been notified that their jobs come to an end after the holidays on January 7.
According to the Charlotte Business Journal, Duke Energy corporation is expanding voluntary buyout offers announced in October to employees in divisions including legal, human resources and power plant operations. More layoffs will likely be in the nuclear and information technology divisions. In 2016, Duke made its last large-scale severance offers when the company eliminated about 900 positions. Although Duke spokesperson Neil Nissan declined to say how many job reductions are expected, it is clear that the company’s goal was not to make it smaller but to make it more efficient and hold costs down for customers.
“This grew out of reviewing our operations, as we do every year,” he said. “We are transforming our company and we need to operate in the most effective manner.”
Nissan also acknowledges that he expects some involuntary layoffs will be necessary that will stem from the nuclear and IT divisions. Factors leading to the reduction have developed from the company becoming more focused on digital operations and the push to maintain low costs.
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