Chevy Volt Plant Delays Second Shift
General Motors has announced its decision to delay the addition of a second shift for the Chevy Volt assembly plant.
Intended to meet projections for the Volt to double its production by 2012, the second shift is no longer necessary as a plant overhaul conducted this summer plus a modest addition of 300 workers working in one shift is sufficient enough to meet GM’s 60,000 unit production target. GM’s move will dramatically reduce cost by improving upon the assembly plant’s efficiency.
As a matter of fact, earlier forecasts for Volt’s 2012 production were a more conservative 45,000 units, indicating a better reception towards the EV than GM expected. As Volt demand continues to increase and a next generation Chevrolet Malibu will begin production at the plant next year while a new Chevrolet Impala will arrive for 2013, GM still intends to launch a second shift to meet demand, providing jobs for hundreds of more workers.
George McGregor, president of UAW Local 22 and the labor representative for the workers of the plant, says that the second shift will begin sometime in 2012.
[Source: Automotive News]
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If the government pulls it's $7500 credit, this car is done. The unit sales are up because General Electric has decided to purchase a large segment of what's been manufactured. This is probably as much a political move as one based on financial merit, given the CEO's current appointment to the current administration's council of czars.
If Obama gets re-elected (perish the thought) you can bet he tries to get that tax credit increased.