Official: GM plant to stay on 'standby'
Photo 
Mike Marcks
JANESVILLE — United Auto Workers Local 95 President Mike Marcks expects to learn today that the shuttered General Motors' plant in Janesville will remain in "standby" status.
Marcks bases his expectations on online and media reports attributed to unnamed sources.
"I can't confirm any of it, but if it's true, I think it's good news for Janesville," Marcks said Monday while traveling to Detroit.
Marcks and other union leaders will hear UAW President Bob King and others explain the terms of a tentative contract reached Friday between the union and GM.
The four-year contract apparently whittles the automaker's list of standby plants from two to one. Sources have said the deal includes new assembly work at a plant in Spring Hill, Tenn.
In 2008 and 2009, GM closed several production plants around the country but said that only two—Janesville and Spring Hill—would remain on standby status in case the automaker needed to increase capacity to meet production demands.
Now it appears that the Spring Hill plant will get new assembly work. People briefed on the agreement said the former Saturn assembly plant in Tennessee would reopen.
In addition, plants in Michigan and Missouri have been promised new products, they said.
When pressed, industry analysts have routinely said that of the two standby plants, Spring Hill would likely come back online before Janesville.
They've said GM needs to maximize capacity at its 11 U.S. assembly plants, a strategy the automaker has employed throughout the year with announcements of steady sales, new investments and new shifts of workers at several of its plants.
The analysts also have said that the Janesville plant's designation as a standby facility is important because it keeps it in line should the automaker need more production capacity.
Once closed, a plant is dropped from any future plans.
Throughout the year, Local 95 officials have asked international union officials to keep Janesville in mind as the contract was negotiated.
"That's always been our message: Give us the work in Janesville, but if you can't do that, please allow us to stay on standby," Marcks said.
By the time the Janesville plant ended production of full-size sport-utility vehicles in late 2008, more than 2,000 hourly workers were laid off.
Hundreds of others lost their jobs at local GM suppliers.
At Spring Hill, more than 2,000 workers were idled when GM stopped making the Chevrolet Traverse in 2009. It has, however, continued to build engines, and GM last year announced a nearly $500 million investment to manufacture the next generation of the company's Ecotec engine at the complex.
Between 1990 and 2007, the Spring Hill plant built more than 3.7 million Saturns.
Workers must vote on the deal before it can take effect. That will take place in the next week or so.
Marcks said he expects to learn more details today about a ratification vote and how many people in Janesville could participate.
OTHER HIGHLIGHTS
The tentative contract agreement reached late Friday between General Motors and United Auto Workers includes a $5,000 signing bonus and the possibility of sweeter profit-sharing checks for GM's 48,500 factory workers, but most of them aren't likely to see a pay raise.
The contract also includes a $2- to $3-per-hour pay raise for entry-level workers over the life of the contract and guarantees of more union jobs. GM now has about 2,400 workers making the entry-level wage of $14 to $16 per hour, about half the pay for longtime UAW workers.
If approved, the GM contract would serve as a template for the UAW's negotiations with the other two U.S. automakers and be the first since GM and Chrysler received government bailouts to make it through bankruptcy protection in 2009.
Material from Gazette wire services was used in this story.
Nov 1, 2012 at 12:45 p.m.
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yep the state was a great place back in the day when instead of being adversarial, half of us simply kept our mouths shut while the other half rooted arround in our pockets in search of more money.
Oct 8, 2011 at 1:10 p.m.
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I know someone who works for the big corporate office of GM, and was told this standby situation is just to stall the clean up .process. This person told me that Janesville is desperate and willing to accept standby in false hopes of it being saved. GM doesn't want to ever have to pay the cost of the clean up, as it is insanely higher than the clean up of other plants they have scrapped. He said GM is willing to keep it on standby forever if Janesville doesn't ever demand for the clean up. It's a sad crooked scam by GM, and they are taking advantage of Janesville's desperation.
Sep 21, 2011 at 5:50 p.m.
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Sargentfriday sounds like Colonel Klink.
Sep 21, 2011 at 5:28 p.m.
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gonfo5,
I never said I was a democrat or a republican.
Read what I wrote and answer the questions.
Where was our hometown boy? He had no problem going to Vail Colorado for the top secret meeting of the Billionaire KOCH brothers did he.
Where was our Governor Scott Walker? He has no problem Degrading his own State Residents for the last 10 Months in Madison,Does he? I would like to remind him the other 48% that did not vote for him the first time are no less Wisconsinites then His Republican Friends That did, are they. Mr. Walkers going to be in for a big surprise come January, if the FBI doesn't arrest him first.
I also said our other community leaders, All were none existent lately.
For your info. I do not vote party line as you suggest, I was a big fan of Tommy Thompson and no fan of Jim DOYLE.
I would suggest you look in the mirror before you make a statement about me and what I wrote and ask yourself who the REAL PARTY FOLLOWER IS...
Wisconsin has always been a great state to live in... until the recent politics that has played out in Madison has cut this state in half, Is this the state we all want?
Its not the state that I would like to see in the future. If you do, then you my friend have a serious problem.
I remember a contractor telling me (5 years ago) his boss would love to see the plant close, it would be great... He isn't thinking that anymore...
I seems to me that there are a lot of opinions coming from people that are happy that it happened. I say it is someone that could not get hired there and are just jealous. O.K. then be jealous, but I would bet that 5 years ago you were better off then today...
Instead of the Dooms day attitude about the plants future, people should be rallying around the slight opportunity that there still is a chance, that is all...........
And once again, I do not work for GM!
Sep 21, 2011 at 3:32 p.m.
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People keep saying how good the hybrids are, wait until they have to start replacing the battery packs and electric motors. A battery pack for a 6 year old prius is about $3,500 installed right now, while the average trade in is $9,475 for a car with 90,000 miles on it according to NADA. Who knows what they electric motor would cost. To me this does not make good economic sense.
Sep 21, 2011 at 1:34 p.m.
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They can't do anything but idle the plant. If they shut it down completely, the land would have to be reclaimed if I'm remembering right. That would involve decontamination of the earth below the entire facility, would it not?
Sep 21, 2011 at 11:20 a.m.
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Hello Janesville? Please hold --Cue the Muzak......
Sep 21, 2011 at 10:02 a.m.
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sargentfriday - Why didn't you slam any democrats in your original post? If you are going to slam politicians, slam them all or stop preaching what is good for the community! We already have enough blind party followers to go around!
Sep 21, 2011 at 7:17 a.m.
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That makes it official then if he said it,
Sep 21, 2011 at 6:45 a.m.
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Until there is real action in regards to the Janesville plant why would anyone look for it to happen? If reality doesn't support it we need to wake up from the dream and move on.
Sep 21, 2011 at 5:28 a.m.
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Oh my gosh... It's really happening. You see, dreams do... Oops false alarm, again.
Sep 21, 2011 at 3:29 a.m.
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"saw a van today, green technology, maybe propane, or some kind of natural gas. What is the possiblities that these type of vehicales could become more available?"
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Like any product that is FREE MARKET driven, they becomes more available when there is DEMAND for the product. Many of these "green" vehicles simply do not have the consumer demand, and much of their sales are driven by artificial means...Government subsidy namely ...Hybrid ethanol vehicles would be completely off the market, because a gallon of ethanol costs more then a gallon of gas to produce, and gets far less fuel MPG then does gas. Ethanol's price is lower at the pump, because it's heavily subsidized....Also many of these "green" vehicles actually create a BIGGER carbon footprint in the production of their "clean fuel-energy" source! Takes a LOT of energy (mostly all driven via carbon based fuel)to make batteries, windmill turbines, ext..
Sep 21, 2011 at 1:14 a.m.
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iceak, the main obstacle to broader usage of alternative (cleaner) fuels is a distribution network. Typically these vehicles are first adopted by fleets that with centralized access to the fuel. Ford is selling propane vans as of this year; buses that run on propane or compressed natural gas have been around for a number of years. This is GM's page on its own greener vehicles:
http://www.gm.com/vision/greener_vehicle...
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For consumer cars, electric hybrids like the Prius or Volt are going to be the primary green vehicles. Everybody has 110V electric service, after all.
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As for GM, the key is going to be increasing its sales year over year. By the end of next year we should know if GM is going to be able to do that coming out of the bankruptcy and bringing its new and revised models to market. But right now, I understand they are under capacity based on the units sold and the plants they kept for "New GM". Any work being done at the plant is likely related to keeping it safe and secure while on standby.
Sep 20, 2011 at 8:24 p.m.
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yea, heard that down here. also heard of an evaluation recently. what they do before they fire a plant up.
Sep 20, 2011 at 8:14 p.m.
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GM has spent over a million dollars to fix a bunch of electrical problems within the Janesville plant.
Sep 20, 2011 at 7:58 p.m.
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i've heard someone was out with a natural gas prototype. not sure if it will ever hit market tho.
Sep 20, 2011 at 7:40 p.m.
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saw a van today, green technology, maybe propane, or some kind of natural gas. What is the possiblities that these type of vehicales could become more available?
Sep 20, 2011 at 7:36 p.m.
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sargentfriday-
Why can't the laid off GM UAW guys go to work at Chrysler in Belvidere? Which contract talks are you talking about? Do you seriously think that Paul Ryan or Scott Walker (and even Jim Doyle who was governor at the time) didn't do everything they could to keep GM open? And PLEASE don't move to another town with an automaker- you bring bad karma.
Sep 20, 2011 at 6 p.m.
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Hey Smurfy Smurf,
Jump in your car and take a 45 minute drive down to Belvidere Il., drive around the Chrysler Plant. 480,000 square feet were just added and that is just the start. Look at many of the supplier plants that are adjacent to the main plant, look at the JIT center. None of that was there 5-6 years ago. Much more is planned. If you doubt the speed that an automaker can invest and create jobs,take the drive and see for yourself. They are in the process of adding thousands of jobs as we speak. I am not responding to your comment in a negative way, Just reminding everyone that if you want to create jobs, Good paying jobs... I would think our Community leaders should lead.
Don't count this Plant out just yet, it may be old, but in this industry the building shell aesthetics mean nothing, what counts is a great workforce, GM had that in Janesville, The economy is what tanked this plant for the time being. It would take a completely new car or Truck platform to re-open this place, don't be surprised if that new product isn't already on the drawing boards....
Sep 20, 2011 at 5:53 p.m.
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i do know that people who are staffing UAW 95 have had contact with detroit. i've heard a couple senators as well. Walker? no idea there. it could happen as well. there are new products coming out so its a strong possibility. as far as janesville being retooled, could take a year maybe and 400K. could be less, depends on how much they would have to chage the equipment thats in there.
Sep 20, 2011 at 5:28 p.m.
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I put more faith in all the "as seen on tv" miracle cures than Janesville reopening. How many people would go back to work? And the shuttered suppliers? Don't think they'd open instantly. Would be nice, but Janesville's plant would need a lot of work before opening back up, and most of it wouldn't be cost effective.
Sep 20, 2011 at 5:14 p.m.
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I have a few questions that I think need to be answered.
1) where was our local leaders during the contract talks? Spring hill had a whole delegation lobbying up in Detroit from surrounding areas.
2) where was Mr. Big Shot PAUL RYAN? Probably out in VAIL at a Billionaire BoyZ Club Meeting with the KOCH Brothers... Thanks Paul, You completely abandoned your Own HOMETOWN!
3) Where was our Governor Mr. Scott Walker? I know, Probably hiding from the FBI.
4)Where was the elite Group from Janesville working on the economic Development for the area?
I ask all of you, trying to secure 2500-3000 GM Great paying Jobs wasn't worth the effort?
Trying to Bring back Companies like LEAR or The Auto Transport Company and the many others that all were tied to GM's Janesville plant was worth even a Freaking Phone call up in Detroit.
All you people failed this community in the last several weeks, I am totally disgusted by your lack of involvement, The Gazette run one little article after the fact...Come you guys can do better then that.
I don't work for GM, but this is the second town that I have lived in to watch an automaker shut down and leave, No where, in any town have I seen such a lack of trying to persuade a company to stay as here. Shame on all of you Politicians for not giving a darn. All I can say is watch out next election,You too may become unemployed...
Walker you should just move to Illinois and join the jail politicians there, you look like you are going to fit right in........
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