Layoff's at the Lansing plant

[Expunge]

The Lansing plant, which has 2,700 workers, will lay off 810 hourly workers and 29 salaried workers effective Jan. 16, 2017. The layoff figure includes more than 300 temporary workers, a GM spokeswoman said.

The Detroit automaker builds the Cadillac ATS, Cadillac CTS and Chevrolet Camaro at Lansing Grand River; days supply of those cars rose to 118, 136 and 138, respectively, at the end of October. That was higher than the month earlier and more than double what the industry considers a healthy days supply to carry.

The Detroit automaker said the production cuts are related to the continued expectation that customers will continue to prefer crossovers and trucks over cars. Sales of all four cars the plants build are down sharply this year through October compared to the same months in 2015.

Source: http://www.detroitnews.com/story/bus...-car/93540444/
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My 2 cents.. GM overpriced the 6th gen Camaro to begin with. Sad to see the layoffs.

[shaffe]

That sucks for those that will lose their jobs, GM Overestimated the demand and produced to many

[mlee]

Bummer...

[sherob]

I'll wait to see what the 6th Gen ZL1 comes in at when it hits the floors soon... if it's priced how they did the 6th Gen SS when it hit the floors, it may keep the GM wow's rolling, and I'll just pour my $$$ in my 1LE.

I would love to just buy a new ZL1... but I won't be shaved, for a lack of a poorer word.

[DGthe3]

Originally Posted by shaffe

That sucks for those that will lose their jobs, GM Overestimated the demand and produced to many

Yes and no. Inventory levels are a bit high right now (I think 100 days supply at dealerships, compared to the industry target of 60-90 days). And incentives are pretty high as well (corresponding to over-supply).

But there is a lot more at play here.

It was the 3rd shift at the plant. Generally, you only run those if you initially underestimated demand. 2 shifts are considered ideal, striking the the right balance between productivity and headaches.

Going to 3 shifts creates a number of 'secondary' or 'soft' problems -things that are either an annoyance or temporary issue, but not necessarily a deal breaker. A third shift reduces preventative maintenance capacity, has slightly more quality problems, and is at greater risk to supply problems. Accepting those issues for ~50% more production isn't a bad deal, especially if its only a temporary thing (the 3rd shift was hired back in January as I recall). But not really something that you want to pursue perpetually.

And don't forget that demand for the Camaro is very seasonal. Sales slow down quite a bit in the winter and peak in the summer. Its pretty easy to figure that demand in December will only be ~2/3 of demand in August.

[DGthe3]

Originally Posted by sherob

I'll wait to see what the 6th Gen ZL1 comes in at when it hits the floors soon... if it's priced how they did the 6th Gen SS when it hit the floors, it may keep the GM wow's rolling, and I'll just pour my $$$ in my 1LE.

I would love to just buy a new ZL1... but I won't be shaved, for a lack of a poorer word.

?

Pricing has been out for months on the ZL1. The build & price is up on Chevy's website, cars are at dealerships, and a handful are in peoples driveways.

[h422694]

Originally Posted by DGthe3

Going to 3 shifts creates a number of 'secondary' or 'soft' problems -things that are either an annoyance or temporary issue, but not necessarily a deal breaker. A third shift reduces preventative maintenance capacity, has slightly more quality problems, and is at greater risk to supply problems. Accepting those issues for ~50% more production isn't a bad deal, especially if its only a temporary thing (the 3rd shift was hired back in January as I recall). But not really something that you want to pursue perpetually.

These are the same reasons the Bowling Green Corvette plant does not add additional shifts. Training new employees and quality are major issues if similar results can be obtained with OT.
Well Stated.

[sherob]

Originally Posted by DGthe3

?

Pricing has been out for months on the ZL1. The build & price is up on Chevy's website, cars are at dealerships, and a handful are in peoples driveways.

That's funny... I just hit the Chevy site... last week(?) and it still said Coming This Fall(?)"...

I guess the game begins...

[shaffe]

Originally Posted by DGthe3

Yes and no. Inventory levels are a bit high right now (I think 100 days supply at dealerships, compared to the industry target of 60-90 days). And incentives are pretty high as well (corresponding to over-supply).

But there is a lot more at play here.

It was the 3rd shift at the plant. Generally, you only run those if you initially underestimated demand. 2 shifts are considered ideal, striking the the right balance between productivity and headaches.

Going to 3 shifts creates a number of 'secondary' or 'soft' problems -things that are either an annoyance or temporary issue, but not necessarily a deal breaker. A third shift reduces preventative maintenance capacity, has slightly more quality problems, and is at greater risk to supply problems. Accepting those issues for ~50% more production isn't a bad deal, especially if its only a temporary thing (the 3rd shift was hired back in January as I recall). But not really something that you want to pursue perpetually.

And don't forget that demand for the Camaro is very seasonal. Sales slow down quite a bit in the winter and peak in the summer. Its pretty easy to figure that demand in December will only be ~2/3 of demand in August.

I would say they over estimated demand. Going by what I saw in sales, and from local dealers. They expected them to move faster than they did and yes now with winter coming time to slow production.

[JMT]

Originally Posted by sherob

That's funny... I just hit the Chevy site... last week(?) and it still said Coming This Fall(?)"...

I guess the game begins...

If you find this link on pricing please post!

[sherob]

Originally Posted by JMT

If you find this link on pricing please post!

I just config'ed a ZL1... over $65k... nothing in my area on a lot...

Website says they start @ $61,140...

[DGthe3]

Originally Posted by JMT

If you find this link on pricing please post!

http://www.chevrolet.com/camaro-zl1/...n.html#/config

[Marty McFlew]

Originally Posted by shaffe

That sucks for those that will lose their jobs, GM Overestimated the demand and produced to many

No not the demand, they overestimated the pricing. Its now biting the in the axe. They could have done just as well pricing the camaros close to the mustang pricing. Not as big a profit on each car but they would sell more than Mustangs.