GM announces job cut, downsizing; Trump tweets and the stocks plummet
The stock market responded after President Trump’s latest comments about General Motors’ plan to close five U.S. plants and layoff over 14,000 U.S. and Canada-based employees. After Trump threatened to end “all GM subsidies” Tuesday, shares for the company fell quickly.
“Very disappointed with General Motors and their CEO, Mary Barra, for closing plants in Ohio, Michigan and Maryland,” Trump tweeted Tuesday. “Nothing being closed in Mexico & China. The U.S. saved General Motors, and this is the THANKS we get! We are now looking at cutting all @GM subsidies, including for electric cars. General Motors made a big China bet years ago when they built plants there (and in Mexico) – don’t think that bet is going to pay off. I am here to protect America’s Workers!”
Wall Street responded.
“The automaker’s shares fell following the tweets and were down more than 3 percent on Tuesday afternoon, on track for their worst day in a month,” CNBC reports.
GM’s 15% downsizing of its workforce will impact some 14,800 jobs in the U.S. and Canada and shut down five U.S.-based plants in Detroit and Warren, Michigan, Warren, Ohio, and White Marsh, Maryland.
photo/ donkeyhotey
Why couldn’t they shut down the other two and really gave our people their jobs? Greed?