Delphi on track to achieve 6,000 U.S. job cuts

[UpInArms]

http://www.mlive.com/newsflash/michigan/index.ssf?/base/business-3/109509744638680.xml&storylist=newsmichigan

DETROIT (AP) — The closing of a Delphi Corp. factory in Flint places the world's largest auto supplier on track to meet a goal of reducing its U.S. hourly work force by up to 6,000 by year's end, the company said Monday.

Troy-based Delphi said it had ceased production at its Flint West facility, and as of last week all 450 remaining workers had chosen options such as retirement or transfers to other jobs.

Delphi said the Flint West closing was the largest of four planned U.S. consolidations this year. Spokesman David Bodkin said Delphi eventually will close operations in Anaheim, Calif., Olathe, Kan., and Tuscaloosa, Ala. Delphi also has closed five non-U.S. facilities this year.

<snip>

Dawes said the consolidation supports a "critical cost reduction portion" of a restructuring announced in October 2003. At the time, Delphi said it expected to eliminate up to 5,000 jobs held by hourly union members in the United States by the end of 2004.

The supplier, which was spun off from General Motors Corp. in 1999, has since adjusted the goal to 5,500 to 6,000 workers. Delphi said it had reduced its U.S. hourly headcount by 4,925 as of June 30.

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[54anickel]

1. Wow, that reads so cold. Just facts and numbers, how it effects the

balance sheet. I realize that's just the way business is, but they are discussing people like widgets. Very sad.

[mbperrin]

2. Wow! Look at that * job machine go!

There go more jobs!!!

[lectrobyte]

3. and US Air declaring bankruptcy, we've turned the corner, yeah

right.

[patdem]

4. WOW..I find job cutting as a GOAL pretty disgusting!! I thougt it was

something you did during bad times to cut the bleeding? Now it is the GOAL of companies to CUT LONG TERM EMPLOYEES who believed in the company and put in long hard hours to help the company achieve its OLD GOALS of profits and success??

Loyalty OATH???

[Blue Gardener]

5. It is bad times for the auto supply industry

I work for a competitor of Delphi. While I certainly am disgusted by the loss of jobs at this company, the same thing is happening at many of the suppliers. GM, DaimlerChrysler, Ford, Toyota, etc. are constantly putting the squeeze on suppliers to either reduce cost, or they'll buy more parts from overseas. It's sink or swim time for many of these companies, either they try to stay competitive...or they go bankrupt. I just hope I still have a job in five years.

[w4rma]

6. "or they'll buy more parts from overseas"

There is no way that a US factory worker can compete with a Chinese factory worker. The Chinese factory worker is compensated about $1 a day, if that. That's 100 Chinese per American doing the work.

With current tax laws, I'd have to say that you *must* go overseas to stay in buisness.