GM Offers More Buyouts; Slashes Retirement Benefits

http://www.laborradio.org/node/11294

On Tuesday GM began sending out notices to salaried workers outlining reductions in benefits they can expect once they retire. According to a memo sent to workers by CEO Fritz Henderson the changes will impact current salaried workers who will be retiring in the future. Dental, vision, and extended care coverage will be eliminated from the retiree health care plan for non-Medicare retirees. GM is also mailing out more early retirement offers to workers as the company seeks to slim its workforce. Workers have until July 24 to take the option which for some workers includes a pay out of up to $115,000 and a $25,000 vehicle voucher. This is the company’s fourth buyout offer since 2006 and the last round from earlier this year saw 7,600 workers taking the offer. GM announced yesterday it would be cutting 887 jobs at a Wentzville, Missouri plant. The cuts will take place on August 10 and cut the plants workforce in half. The job cuts will come after a plan to idle the plant starting this week until July 27.

And huge bonuses.