General Motors To Temporarily Close Plants, Cut White-Collar Workforce

Embattled US manufacturer General Motors is expected to announce the temporary closure of a number of its North American plants tomorrow, a measure which will enable the automaker to cut costs and focus on clearing its ever-growing inventory of unsold vehicles.

The number and location of the plants to be closed has yet to be announced, but the closures - expected to be for up to nine weeks - will see GM cutting its yearly output by a hefty 170,000 vehicles.

It may not be the ideal solution for the thousands of GM staff that will be affected; but with a bloated inventory clogging up GM dealer forecourts across the US, a production stoppage is the only logical answer.

The 'shop floor' of the production lines isn't the only area that will experience upheaval. GM has also announced that it will be cutting its white-collar workforce by some 1600 people by the end of the month.

An official announcement is expected to be made tomorrow, with the the affected plants likely be mothballed over the US summer. We'll have more for you as the news comes to hand.