General Motors (GM) will invest an additional $1 billion in U.S. manufacturing operations covering multiple new vehicles, advanced technology, and component projects. In 2016, GM had announced an investment of $2.9 billion and has invested more than $21 billion in its U.S. operations since 2009. A combination of 1,500 new and retained jobs are tied to the new investments. The company will also begin work on insourcing axle production for its next-generation full-size pickup trucks, including work previously done in Mexico, to operations in Michigan, creating 450 U.S. jobs.
GM has also created supplier parks adjacent to its U.S. manufacturing sites in Kansas, Tennessee, Indiana, and Ohio to improve operational efficiency and reduce cost. In addition, GM has got a commitment from another supplier to make components for GM’s next-generation full-size pick-up trucks in Michigan, moving 100 supplier jobs from Mexico to the U.S.
Mary Barra, GM Chairman, and CEO, commented, “As the U.S. manufacturing base increases its competitiveness, we are able to further increase our investment, resulting in more jobs for America and better results for our owners. The U.S. is our home market and we are committed to growth that is good for our employees, dealers, and suppliers and supports our continued effort to drive shareholder value.”
With approximately 19,000 engineering, IT and professional jobs and 6,000 hourly manufacturing jobs, GM has created 25,000 jobs in the U.S. and added nearly $3 billion in annual wages and benefits to the U.S. economy over that period. In addition to this, GM reduced more than 15,000 positions outside the U.S., bringing most of those jobs to America. The company also moved from 90 percent of its IT work being outsourced to an insourced U.S.-based model.
“We will continue our commitment to driving a more efficient business,” said Barra, “as shown by our insourcing of more than 6,000 IT jobs that were formerly outside the U.S., streamlining our engineering operations from seven to three, with the core engineering center being in Warren, Michigan, and building on our momentum at GM Financial and in advanced technologies. These moves, and others are expected to result in more than 5,000 new jobs in the U.S. over the next few years.”
General Motors Co. has leadership positions in the world’s largest and fastest-growing automotive markets with production facilities in 30 countries. GM, its subsidiaries, and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands.