Thread regarding General Motors layoffs

@7lvr+1o9n6kZx assuming it even makes it to 100k miles.

@1rlf+1o9n6kZx, pulling a loan on a machine that decreases in value is the d-mbest thing one can do.

In the case of GM product one finances an Escalade at 140000 and after 10000 mi the vehicle is only worth 75000 and declining from there.

Back in the 70s the employee deals when buying a car was so great, one tossed your cash bricks on the table and the dealer handed you the keys. Those days are gone. GM says its a deal when the employee option is a sale of 3% off. So much for buy one get one if one was a loyal returning costumer.

The young people who didn’t work at GM circa 2002-2010 have no idea how bad things are going to get. Pay cuts, lots of arbitrary rules to make you miserable (so that you quit), pettiness from management, a defeatist consensus, raw misery, low GM stock price, program cuts, revolving job cuts, threats, hiring freezes, etc. Lots of stress and gloom. The cov1d nonsense will make it exponentially worse, just as they force us to work more hours in the office and the UAW is at the gates blocking traffic. They won’t send us home when the corona scare drops. They will mandate masks and vaccines. Count on it. It will lower headcount without the severances.

The biggest GM problem is senior mgmt believes all the fuzzy feel good press releases that gm media churns out....

Damn, that’s some ignition switch vibes

Its even worse than you think. Pre production is completely gutted. Higher ups think it can all be done "virtually" with zero physical testing. Proper engineering is going away because they can't find people that truly know how to root cause issues and manage those that do. They are essentially following Tesla's lead and having the end user be the beta tester. Without preproduction builds proper the first 500 customers will unknowingly do it for free and risk their own lives.

He's the outline for beginning of Q4 2023:

1. New variant in mid October. Mask mandates, then lock-downs. This will exacerbate what follows in #2 and #3.
2. Chinese economic collapse causes a new global financial crisis. This is unfolding now and will continue to escalate.
3. Record consumer debt leads to record defaults with ongoing layoffs, foreclosures, business bankruptcies and failing banks.

The lock-downs won't result in feelgood WFH, Netflix and pajamas. It will result in plant closures, mass layoffs, restaurants, bars, and small businesses being crushed for good.

I encourage you to dismiss what I'm saying here. Party on. I'm probably trolling. Right? Right?

Our entire society and standard of living is predicted on debt.
People like to complain about the landlord or the bank’s interest rates, but they have no complaints about living the highlife while putting everything into on the Visa.
Stay classy.

If debt is bad let's ban it.

Next time you want to buy a new car, bring a suitcase with the 50k in cash you've been saving up.

What if you have 7 billion free cash flow every year for 30 years?

"Can that record profit pay off GM’s $115B in debt?"

Not with $5B-$7B of free cash flow :(

Debt is an addiction and the first step to breaking the cycle of addiction is to admit that you have a problem.

GM's debt isn't all due next month.

They probably sold corporate bonds that don't come due for years.

So yeah, if they have enough profitable years, they'll be able to keep redeeming the bonds as they come due.

Debt isn't necessarily a bad thing if you're spending the money on an asset that appreciates, or you're improving your business to become more profitable in the future.

Think about taking out a mortgage to buy a house.

Can that record profit pay off GM’s $115B in debt?

It's like the USSR; there's never any problems.

Yeah, there's a large number of problems; it's the opposite of what the government keeps claiming.

In GM's case, it's the opposite of what the company keeps claiming; despite record profits they have more debt than they are able to repay.

Record profits don't matter. There will be layoffs, Abbott said in his opinion there's too much overhead. Complete shocker he said that. GM is over supplied with employees that aren't needed. Layoffs will be happening soon, more than likely the middle of the 4th quarter, which is sad, since it'll be during the holidays.

“ barely hanging on”
Record profits.
Give it a rest.