Continuing its efforts to avoid bankruptcy, General Motors has announced it will be eliminating some 5,000 white-collar positions by November 1.
In a move the saves $1.5 billion in labor costs, GM will be shedding 15% of its salaried workforce in the US and Canada.
While the company had planned on cutting 20% of its white-collar staff, the company has to trim $10 billion from the books by the end of 2009.
With bankruptcy threatening as GM sees the worst automotive industry sales in 20 years, the company has a goal of generating approximately $15-16 billion by 2010.
Major drop offs in SUV and truck sales, as consumers look for more efficient vehicles, forced GM to cut over 287,000 units in truck production.
Jobs that were involved in vehicle output were no longer needed. GM is offering full retirement packages to workers as young as 58 years old with at least 10 years experience.
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