Gm’s Fairfax Plant To Reduce Its Workforce In May

Sad news for GMs workers in Fairfax plant: the automaker is once again reducing its workforce in the said plant brought about by production slowdown. The automaker has announced that reduction of its Fairfax plant workers will commence in May.

GM has not yet revealed information on the numbers of workers that are going to be affected but according to a local union official, the layoff is likely to affect 300 temporary employees of the plant starting May 7.

Aside from cut in the workforce, the production at the Fairfax plant is also expected to shutdown for a week starting next Monday. Aside from that, the plant will have another scheduled week long closing on April 30.

At present the Fairfax plant has about 2,750 employees of which 2,500 are permanent hourly workers on two shifts. The temporary workforce was the result of GMs companywide reduction program stripping the company with almost 35,000 workers and replacing them with temporary workers.

During the massive downsizing implemented by GM in late 2005, the Fairfax plant has remained untouched. As a matter of fact, the plant even launched a new Saturn Aura which they equipped with only the best quality auto parts like GM brake rotors and more last August, as well as secure funding for the launching of a redesigned Chevrolet Malibu scheduled for launch later this year. And lately the plant has been on an overtime schedule and has worked extra hours for several Saturdays for the past few years.

Unfortunately, the sale of the Malibu which is the plants principal vehicle had slow sales for 2006. GM was able to sell 163, 853 Malibus last year which when compared to 2005 is 20% lesser.

According to Dan Flores, a GM spokesman, Were strategically pulling back from less profitable sales, such as fleet sales. Thats why were making this production adjustment. Flores also added that General Motors and the United Auto Workers officials will meet once again to workout a favorable settlement plus determine the extent of the workforce cutback. It could be a portion of the temporary workers, all of them, or something more. But that is still to be determined.

However, according to John Melton, bargaining chairman for UAW Local 31, he is already anticipating that the permanent hourly workforce at the plant will not be included. I think this is a way for them to get the temporary workers out of the plant. I dont anticipate any of our people with seniority being affected by this.