jpd80 Posted October 29, 2015 Share Posted October 29, 2015 (edited) Deal includes $60,000 bonus for up to 4,000 workers who retire in 2016 Mike Colias Automotive NewsOctober 28, 2015 - 6:15 pm ET -- UPDATED: 10/28/15 7:10 pm ET - adds details DETROIT -- The UAW’s tentative labor contract with General Motors includes a commitment to spend $8.3 billion over four years on upgrades to 12 U.S. plants, along with the union’s first significant wage increases in a decade and an $8,000 signing bonus to persuade workers to support the package. The union said the $8.3 billion in investment would “create and/or retain” more than 3,300 jobs. About $6.4 billion of the planned outlays have previously been announced by GM. The investment “is designed to ensure optimal utilization of the company’s U.S. facilities and provide job growth,” the union said in its contract summary. The details regarding future product investments were thin relative to past contracts, and mostly a rundown of spending earmarked for new-vehicle programs that GM has already disclosed. Among the biggest outlays are $1.2 billion for a new paint shop at GM’s full-size pickup plant in Fort Wayne, Ind., and $1.4 billion for an expansion of the Arlington, Texas, plant where the company produces large SUVs. The company also will offer buyouts worth up to $60,000 to up to 4,000 eligible UAW members who agree to retire between Feb. 1 and May 1, the union said, in a move aimed at offsetting the added fixed labor costs from the wage increases. More at story link above...... Edited October 29, 2015 by jpd80 Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 29, 2015 Share Posted October 29, 2015 Guess they're planning on selling a ton of GMT whatever they are now SUVs if they're expanding Arlington. Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 29, 2015 Share Posted October 29, 2015 Guess they're planning on selling a ton of GMT whatever they are now SUVs if they're expanding Arlington. When the K2XX SUVs came out they were selling as fast as they could build them. They locked this plan in a while ago, despite a recent slowdown in sales. They're betting on being able to sustain this volume. It's interesting that there is no K-program code for the NG Escalade, as has already surfaced the Tahoe/Yukon/Suburban. There is a code for a Cadillac utility based off Lambda replacement. Considering the volume and profit that the Escalade brings in, this makes the plant expansion even more curious. Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 29, 2015 Share Posted October 29, 2015 When the K2XX SUVs came out they were selling as fast as they could build them. They locked this plan in a while ago, despite a recent slowdown in sales. They're betting on being able to sustain this volume. It's interesting that there is no K-program code for the NG Escalade, as has already surfaced the Tahoe/Yukon/Suburban. There is a code for a Cadillac utility based off Lambda replacement. Considering the volume and profit that the Escalade brings in, this makes the plant expansion even more curious. I find it hard to believe they'd just drop the Escalade in favor of a Lamda-only model. Quote Link to comment Share on other sites More sharing options...
630land Posted October 29, 2015 Share Posted October 29, 2015 "Escalade Classic"? I take back what I posted about GM, I think Fiat Chrysler will get hurt by a downturn, but GM has better products then 10 years ago and can do better. Quote Link to comment Share on other sites More sharing options...
NLPRacing Posted October 29, 2015 Share Posted October 29, 2015 Guess they're planning on selling a ton of GMT whatever they are now SUVs if they're expanding Arlington. This was announced quite a while ago. http://www.arlington-tx.gov/news/2015/07/14/gm-invests-1-4-billion-in-arlington-assembly-plant/ Quote Link to comment Share on other sites More sharing options...
akirby Posted October 29, 2015 Share Posted October 29, 2015 I find it hard to believe they'd just drop the Escalade in favor of a Lamda-only model. Me, too. But this is GM we're talking about and given the other business decisions regarding Cadillac I wouldn't be a bit surprised. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted October 29, 2015 Author Share Posted October 29, 2015 (edited) All this expansion funding sounds wonderful as good news headlines but how exposed does this leave GM? If sales begin slowing GM could have have a lot of excess production that could blow out inventory levels. Edited October 29, 2015 by jpd80 Quote Link to comment Share on other sites More sharing options...
fuzzymoomoo Posted October 29, 2015 Share Posted October 29, 2015 It's investment within existing plants, which could limit potential damage in the event of another downturn. Quote Link to comment Share on other sites More sharing options...
Fgts Posted October 29, 2015 Share Posted October 29, 2015 It's investment within existing plants, which could limit potential damage in the event of another downturn. It's the return of the B-body Caprice.... Arlington is not a flex-plant AFAIK and making it so can easily produce other CUVs during high gas prices/eco downturn maybe a rwd car IMO. Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 30, 2015 Share Posted October 30, 2015 It's the return of the B-body Caprice.... Arlington is not a flex-plant AFAIK and making it so can easily produce other CUVs during high gas prices/eco downturn maybe a rwd car IMO. The only flexibility I've seen mentioned for Arlington involves being able to add in pickup production alongside the utilities. There are guesses that a substantial part of the cost is going towards aluminum or other new materials being planned in the NG vehicles, along with a new body shop and paint. Supposedly they plan to ride out any downturn by eliminating the 3rd shift if necessary.... With oil forecast to stay cheap for the next 5 years, they must feel pretty comfortable shelling out over $1Billion to pull this off. Quote Link to comment Share on other sites More sharing options...
bzcat Posted October 30, 2015 Share Posted October 30, 2015 I think GM hasn't made up its mind about a FWD large CUV (C1xx - Lambda replacement) or RWD large CUV (Omega) that will be smaller than Escalade but bigger than XT5. So until they figure that out, they are not going to tip their hand about Escalade. But I'm sure Escalade will stay on K#. Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 30, 2015 Share Posted October 30, 2015 I think GM hasn't made up its mind about a FWD large CUV (C1xx - Lambda replacement) or RWD large CUV (Omega) that will be smaller than Escalade but bigger than XT5. So until they figure that out, they are not going to tip their hand about Escalade. But I'm sure Escalade will stay on K#. The "Lambda replacement" program is what's odd right now... They've spread out the vehicles over a smattering of different platforms and sizes. This eliminates the obvious showroom overlap, but at what cost? C1Yx: Very similar in size to the current Lambda program- C1YC = NG Chevrolet Traverse C1Ux: Smaller than current Lambda: C1UL: Launch Cadillac XT5 C1UG: GMC Acadia C1YL: Cancelled Cadillac utility E2xx: NG Epsilon platform, midsize up to full size E2SC: Launch Chevrolet Malibu E2LB: NG Buick Enclave Presumably, the E2 program uses "S" as the 3rd character to denote short or standard wheelbase, and "L" as the 3rd character to denote long wheelbase. E2UL: Fullsized Cadillac utility Escalade replacement or supplement? Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 30, 2015 Share Posted October 30, 2015 The "Lambda replacement" program is what's odd right now... They've spread out the vehicles over a smattering of different platforms and sizes. This eliminates the obvious showroom overlap, but at what cost? C1Yx: Very similar in size to the current Lambda program- C1YC = NG Chevrolet Traverse C1Ux: Smaller than current Lambda: C1UL: Launch Cadillac XT5 C1UG: GMC Acadia C1YL: Cancelled Cadillac utility E2xx: NG Epsilon platform, midsize up to full size E2SC: Launch Chevrolet Malibu E2LB: NG Buick Enclave Presumably, the E2 program uses "S" as the 3rd character to denote short or standard wheelbase, and "L" as the 3rd character to denote long wheelbase. E2UL: Fullsized Cadillac utility Escalade replacement or supplement? Maybe it's because it's late, but I honestly have no idea what all that meant, or that they had that many platforms... you're making my head hurt Ross. lol..... I'm going to sleep now zzzzzzzz Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 30, 2015 Share Posted October 30, 2015 Maybe it's because it's late, but I honestly have no idea what all that meant, or that they had that many platforms... you're making my head hurt Ross. lol..... I'm going to sleep now zzzzzzzz It is a little heavy on codes and light on explanations... Let me try this again: C1Y program: Very similar in size to the current Lambda program Vehicles: C1YC = NG Chevrolet Traverse C1U program: Smaller than current Lambda Vehicles: C1UL: Launch Cadillac XT5 C1UG: GMC Acadia C1YL: Cancelled Cadillac utility - The 2nd planned Cadillac Lambda to be cancelled while in development E2 program: NG Epsilon platform, midsize up to full size Vehicles: E2SC: Launch Chevrolet Malibu E2LB: NG Buick Enclave Presumably, the E2 program uses "S" as the 3rd character to denote short or standard wheelbase, and "L" as the 3rd character to denote long wheelbase. Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 30, 2015 Share Posted October 30, 2015 (edited) Wait.... So now the Lambdas (Traverse, Enclave, and Acadia) go from one platform to THREE separate platforms??? Where's the :picard: thing when you need it..... Edited October 30, 2015 by rmc523 Quote Link to comment Share on other sites More sharing options...
akirby Posted October 30, 2015 Share Posted October 30, 2015 3 platforms, 4 platforms....whatever it takes. Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 30, 2015 Share Posted October 30, 2015 3 platforms, 4 platforms....whatever it takes. I kind of see what they're getting at.. 3 (at one time 4) products that are only differentiated by front clip changes and upper dash shapes made little sense, and caused too much showroom confusion. NG Equinox and Terrain are moving to the next global Delta platform and are though to be nearly identical in size to the Escape. This would leave an incredible size disparity in their utility lineup. By size, it looks like it will go... Trax/Encore Alpha Cadillac SUV Equinox/Terrain XT5/Acadia Enclave (Cadillac CUV) Traverse I'll try to be far and reserve judgement until it's made clear just how different the complexities between these different programs are. Wouldn't many of these technically reside under the umbrella of their "Chi" architecture? Oh, and as far as I've heard, the Omega utility platform is officially off again. Quote Link to comment Share on other sites More sharing options...
akirby Posted October 30, 2015 Share Posted October 30, 2015 Meanwhile Ford has B platform - Ecosport C platform - Escape/MKC CD4 - Edge/MKX D3/CD6 - Explorer/Aviator It's almost like GM comes up with new platforms, THEN figures out what to put on it instead of the other way around. Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 30, 2015 Share Posted October 30, 2015 I kind of see what they're getting at.. 3 (at one time 4) products that are only differentiated by front clip changes and upper dash shapes made little sense, and caused too much showroom confusion. NG Equinox and Terrain are moving to the next global Delta platform and are though to be nearly identical in size to the Escape. This would leave an incredible size disparity in their utility lineup. By size, it looks like it will go... Trax/Encore Alpha Cadillac SUV Equinox/Terrain XT5/Acadia Enclave (Cadillac CUV) Traverse I'll try to be far and reserve judgement until it's made clear just how different the complexities between these different programs are. Wouldn't many of these technically reside under the umbrella of their "Chi" architecture? Oh, and as far as I've heard, the Omega utility platform is officially off again. They have a Chi architecture now?? Goodness, I have no idea what's on what over there. So I think what you're saying is essentially this.....correct me if I'm wrong? Equinox/Terrain ---> Escape XT5/Acadia ---> Edge Enclave ---> Explorer Traverse/Caddy ---> Flex Is that more or less right? With the other "tweeners" thrown in? Quote Link to comment Share on other sites More sharing options...
PREMiERdrum Posted October 30, 2015 Share Posted October 30, 2015 They have a Chi architecture now?? Goodness, I have no idea what's on what over there. Chi is, for all intents and purposes, all of the NG Epsilon (E2)-based crossover platforms grouped into one "program." C1Y, C1U, and E2 codes are all grouped under this umbrella. That's what gives me pause that the differences may not be as dramatic as we're expecting. Drastically different platforms for all these different products would be incredibly stupid, even for today's GM. It's totally possible, but I'm staying skeptical for now. So I think what you're saying is essentially this.....correct me if I'm wrong? Equinox/Terrain ---> Escape XT5/Acadia ---> Edge Enclave ---> Explorer Traverse/Caddy ---> Flex Is that more or less right? With the other "tweeners" thrown in? Something like that. In a broader sense, it looks like they may be splintering each major segment down into different subsegments, size wise, for the various brand's vehicles to slot into. So, collectively, think of the vehicles being organized as much by size and capacity as they were by price "ladder" only. Does that make sense? Quote Link to comment Share on other sites More sharing options...
RichardJensen Posted October 30, 2015 Share Posted October 30, 2015 Is GM going to try to go back to the 50s when they enforced the brand stepladder by wheelbases? 1 Quote Link to comment Share on other sites More sharing options...
rmc523 Posted October 31, 2015 Share Posted October 31, 2015 Chi is, for all intents and purposes, all of the NG Epsilon (E2)-based crossover platforms grouped into one "program." C1Y, C1U, and E2 codes are all grouped under this umbrella. That's what gives me pause that the differences may not be as dramatic as we're expecting. Drastically different platforms for all these different products would be incredibly stupid, even for today's GM. It's totally possible, but I'm staying skeptical for now. Something like that. In a broader sense, it looks like they may be splintering each major segment down into different subsegments, size wise, for the various brand's vehicles to slot into. So, collectively, think of the vehicles being organized as much by size and capacity as they were by price "ladder" only. Does that make sense? Eh I think it does make a little more sense yeah. Quote Link to comment Share on other sites More sharing options...
ehaase Posted October 31, 2015 Share Posted October 31, 2015 E2 program: E2LB: NG Buick Enclave Presumably, the E2 program uses "S" as the 3rd character to denote short or standard wheelbase, and "L" as the 3rd character to denote long wheelbase. I would think E2LB is the LaCrosse replacement, not the Enclave. Quote Link to comment Share on other sites More sharing options...
ehaase Posted October 31, 2015 Share Posted October 31, 2015 I found these codes on another forum. E2SC => new Chevy MalibuC1UG => new GMC AcadiaC1UL => Cadillac XT5C1YC => new Chevy Traverse E2SC is a couple inches narrower, and has a shorter wheelbase than, C1UG.C1UG is a couple inches narrower, and has a shorter wheelbase than, C1YC. C1YL => stillborn CadillacE2LB => new Buick LacrosseE2UL => Quote Link to comment Share on other sites More sharing options...
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