Sunday, March 4, 2012

Government Motors Stop Production of the Chevy Volt

Government motors say the suspended production of the Chevy Volt is temporary, but the 1,300 layoffs are permanent. I wonder if those people being laid off will be part of the unemployment statistics. I wonder if the 1,300 people being laid off will bring the unemployment rate under 8%. We will have to wait and see.

(The Hill) General Motors has temporarily suspended production of its Volt electric car, the company announced Friday.

GM, which is based in Detroit, announced to employees at one of its facilities that it was halting production of the beleaguered electric car for five weeks and temporarily laying off 1,300 employees.

The Chevy Volt has come under criticism from Republicans in Congress because of reports of its batteries catching on fire during testing. President Obama gave the electric vehicle a vote of confidence in a speech to the United Auto Workers union this week, promising he would buy a Volt "five years from now, when I'm not president anymore."

But Republicans have argued that the Volt was being pushed by the Obama administration for political reasons instead of consumer demand.