As too many people retired , are we safe ?
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GM was proactive by acting in 2019 not anticipating COVID shutdowns in 2020 and was lucky in the phase. Now the same may apply for preparing for 2023 recession. Fingers crossed until christmas.
The tech sector was highly based on cheap money and revenues. It wasn't about making a profit it was just about borrowing tons of easy money and showing growth, to impress wall street, and therefore get rewarded w/ more money to burn. Automotive world doesn't work like that really, especially for established companies like GM....you must show profit to impress investors. The effects of the end of the easy money era will show up (higher interest rates on loans, etc) and effect sales, and require GM to bring back incentives. However that hasnt happened yet. When it does you will get the answer to your question.
It has effected businesses like Carvana, etc. But it will take some time to show up in the established 'real' automotive companies, because the effects first have to trickle down to the consumers who will stop purchasing new vehicles. That will happen, eventually.
@ 1qkg+1jKEizjR loss of jobs then who will buy new cars? That too electric.
The question to ask yourself is “How long will it take the person at the end of the assembly line to be affected if I am let go?”. The longer the time, the more likely you’ll be let go.
Safer than FAANG, yes. GM froze hiring long ago. Many have left, no backfill. Running exceptionally lean.
- All it takes is a couple of bad quarters. Let’s see what happens in 2023 Q1 and Q2.
- The upper management is anticipating and planning for pain: "We have also modeled many downturn scenarios and we are prepared to take deliberate action when and if necessary." ~ Mary Barra
- No one is ever safe from job cuts. Employees are an enterprise’s most expensive part of operating costs. Low hanging fruit when profits are squeezed.