Janesville's GM plant to close
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Janesville’s sprawling General Motors plant has survived the Depression, World War II and GM’s major layoffs in the 1980s, but it will close in 2010 or sooner in the automaker’s restructuring plans.
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Rick Wagoner, chairman and CEO of General Motors, fields questions at a press conference where he announced plant closings.
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General Motors products wait to be hauled to dealers at Allied Transport in Janesville. The assembly plant will close by 2010.
JANESVILLE — A decades-old rumor became harsh reality today when General Motors announced that it will cease production at its storied Janesville assembly plant by the end of 2010.
In advance of an annual meeting with shareholders, GM CEO and President Rick Wagoner said high gas prices have hurt sales of pickup trucks and sport utility vehicles and driven consumers to smaller car and crossover models.
That has forced the automaker to shift its product mix, one that will move from a 50-50 balance of cars and trucks to one of 60 percent cars and 40 percent trucks.
“There are changes in market conditions here in the U.S. that we believe are far more structural than cyclical,” Wagoner said, adding that 18 of the next 19 new product launches GM is planning involve cars and crossovers.
In addition to the closure in Janesville, Wagoner said, GM will close a pickup truck plant in Oshawa, Ontario, a mid-size SUV plant in Moraine, Ohio, and a medium-duty truck plant in Toluca, Mexico.
Oshawa employs 1,000 workers and builds the Chevrolet Silverado and GMC Sierra pickups. Moraine, with about 2,500 workers, produces the GMC Envoy, Chevrolet Trailblazer, Saab 9-7X and Isuzu Ascender. The Mexican plant has nearly 400 hourly workers turning out Chevrolet Kodiak medium-duty trucks.
First-shift employees at the Janesville plant learned this morning of GM’s decision—one that has been feared in Rock County for decades.
John Dohner Jr., United Auto Workers Local 95 shop committee chairman at the plant, said that while the plant’s closure had been rumored for years, the reality of this morning’s announcement shocked his co-workers.
“It’s bull----,” Dohner said when asked for his reaction.
“This plant and these people have done everything they can do to work with this company,” Dohner said. “We ratified the national agreement; we’ve jumped through the hoops with all the re-rates, both up and down, and we’ve always produced a quality vehicle.
“This has absolutely nothing to do with there being an issue about union and management not getting along. We’ve worked together, and management hates to see this just as much as the union does.”
Dohner said the union has no indication whether the plant will close sooner than the 2010 date that Wagoner announced.
“All I know about that is we’re set up for one shift at 58 jobs per hour starting in July,” he said.
GM President Troy Clarke said the automaker’s forecasts necessitate one-shift production in Janesville into 2010.
“At the end of the day, this segment of the marketplace has almost collapsed,” Clarke said. “The decision is how we allocate our capacity.”
GM officials also said today that the plant’s medium-duty Isuzu truck line in Janesville will end production by the end of 2009. It employs fewer than 50 workers.
GM last spared the Janesville plant in 2005, when it pledged a $175 million investment to retool the plant for the newest version of Chevrolet Suburbans and Tahoes and GMC Yukon XLs and Yukons.
That product is expected to expire in 2010, as is the Janesville plant.
Wagoner said GM’s plant in Arlington, Texas, will be its sole producer of full-size SUVs after 2010 and will be able to meet the dwindling demand. In addition to Suburbans and Yukons, the Arlington plant builds the Cadillac Escalade, the Escalade ESV and the two-mode hybrid Tahoes and Yukons.
GM’s plant in Silao, Mexico, which has also built Chevy Suburbans, will primarily build full-size pickups and the Chevy Avalanche.
“It’s no fun choosing any plant (for closure),” Wagoner said, adding that the decisions were based on product mixes at the various plants and changing consumer behavior.
Wagoner said it’s “highly unlikely” that any of the four plants tagged for closure Tuesday will be assigned a new product.
“These are very serious decisions that are difficult for the people affected,” he said. “They are made after very careful study.
“It’s not likely that any new products will be assigned to the plants scheduled to cease production, and it would be inaccurate for me to leave anyone with a lot of optimism about that.”
Clarke echoed that comment, saying the automaker’s decision reflects its view on the current and future market.
Wagoner said GM doesn’t expect its truck market to improve any time soon. Sales numbers due out later today were expected to continue the trend of declining SUV and pickup deliveries. For the fourth quarter of last year, GM averaged about 105,000 sales of the big trucks each month. That number has fallen to about 65,000 vehicles, he said.
GM’s truck plants recently were affected by the American Axle strike, which started affecting Janesville in March and cut production in Janesville by about half until this week, when the plant returned to two-shift production.
Some industry analysts suggested the UAW strike against American Axle would help GM deplete its inventories of big trucks.
But since the American Axle strike started in February, dealer inventories of Suburbans, Tahoes, Yukon XLs and Yukons have grown for all but the Suburban. Dealers typically like to have a 60-day supply of vehicles, but at the end of April, they reported a 119-day supply of Suburbans, a 125-day supply of Tahoes, a 186-day supply of Yukon XLs and a 188-day supply of Yukons.
Clarke told The Janesville Gazette in February that he expected truck sales to rebound in the second half of this year, but the numbers over the last six to eight weeks have altered his outlook.
“The numbers that came in for May are so startling,” he said. “I hope May is not an indicator of things to come.”
Tuesday’s announcement was the equivalent of the other shoe dropping for the Janesville plant. In April, GM said it would cut second-shift production in Janesville and eliminate up to 756 jobs in July.
The automaker also is wrapping up a special attrition program that is expected to cut its hourly workforce of 74,000 by 25 percent. In Janesville, about 600 of the plant’s 2,400 hourly workers plan to leave the plant later this month. Today’s announcement will not affect the buyout agreements.
GM’s closing will directly affect GM suppliers in Janesville.
Soon after GM announced its impending production cut, seating supplier Lear Corp. said it will lay off up to 336 of its 670 hourly employees. LSI, which sequences parts into the plant, said it will eliminate up to 132 of its 235 jobs. They are expected to end production entirely by 2010 when GM shuts down here.
“This was an extremely difficult decision for us to make,” Clarke said. “They’ve done a fine job at that facility producing great vehicles.
“We’ve had a great relationship with the people and the community.”
GENERAL MOTORS TIMELINE
1882—You can argue that General Motors began in Janesville in years before the company officially located here, with Janesville Machine Co.’s start in manufacturing farm machinery.
1897—Olds Motor Vehicle Co. organized and first Oldsmobile produced.
1901—First American car to be manufactured in quantity was the famous curved-dash Oldsmobile runabout.
1908—Fisher Body Co. organized. General Motors Co. organized (Sept. 16). Cadillac won Dewar trophy in London for demonstrating interchangeability of parts, a basic element in mass production.
1911—Chevrolet Motor Co. and General Motors Export Co. organized. First successful electric self-starter developed by C.F. Kettering and installed in a Cadillac.
1918—General Motors bought the Janesville Machine Co., merged it with Samson Tractor Co. of Stockton, Calif., and built a new plant for Samson operations in Janesville.
1923—The Janesville General Motors plant produced its first car. Four-wheel brakes appeared on 1924 Buicks.
1924—General Motors Proving Ground, Milford, Mich., established.
1933—No-draft ventilation, developed by Fisher Body, introduced on all GM cars. Individual front-wheel suspension, called Knee-Action, developed by GM engineering staff.
1939—Hydra-matic, first completely automatic shift transmission, introduced by Detroit Transmission Division on Oldsmobile’s 1940 models. First turn signals in the automotive industry developed by Guide Lamp Division and introduced by Buick.
1940—GM produced its 25,000,000th car (Jan. 11).
1940-45—GM delivered more than $12.3 million worth of war material, including airplane engines, airplanes and parts, trucks, tanks, marine diesels, guns, shells and miscellaneous products. Janesville plant produced more than 16 million shells.
1948—Cadillac and Oldsmobile introduced first high compression V-8 engines. Buick introduced first torque converter type automatic transmission offered in U.S. passenger car. First mass-produced car to be manufactured in Australia, the Holden, introduced by GM.
1952—Power steering offered by Cadillac, Oldsmobile and Buick.
1953—12-volt electrical systems, developed by Delco-Remy division, installed on Cadillacs, Oldsmobiles and Buicks. First of 30 GM training centers opened in Detroit. Power brakes offered by Buick and Oldsmobile. Chevrolet Corvette introduced featuring first molded plastic body to be produced in quantity. GM acquires Euclid Road Machinery Co.
1954—GM announces $1 billion two-year capital expenditure program. GM produced its 50,000,000th U.S.-made car. GM introduced the XP-21 Firebird, first gas turbine automobile built and tested in United States. Turbocruiser, world’s first gas turbine bus, introduced GM Desert Proving Ground, Mesa, Ariz., established.
1961—Buick introduced first American V-6 passenger car engine.
1962—GM produced its 75,000,000th U.S.-made vehicle. Number of General Motors’ shareholders passed the 1 million mark.
1966—Energy-absorbing steering column introduced. Cadillac’s front-wheel drive Fleetwood Eldorado introduced.
1967—GM produced its 100,000,000th U.S.-made vehicle, a Caprice Custom Coupe Chevrolet made in Janesville.
1968—Chevrolet and Fisher Body Divisions in Janesville merge to single operation and become known as General Motors Assembly Division.
1970—GM announced that all its 1971 cars would be able to operate on low-leaded or unleaded gasoline.
1978—Employment reaches new peak at General Motors plant in Janesville: 7,100 employees—6,450 hourly, 650 salaried—make 274,000 full-size Chevrolet Caprices and 114,700 pickup trucks for Chevy and GMC.
1980—Layoffs begin on Janesville’s two shifts on both lines as sales slump auto industrywide.
1981—Chevrolet ends full-size automobile production that began in 1923.
1982—Production of compact Chevrolet Cavalier and Cadillac Cimarron begins on one of Janesville’s shifts with 2,500 workers. Truck line layoffs continue intermittently.
1983—Janesville’s second-shift car-line workers called back to work. Full employment now is 6,500, of whom 5,600 are hourly employees.
1984—GM announces pickup production—and 1,800 jobs—will move from Janesville to Fort Wayne, Ind.; 1,250 local workers accept transfers to Fort Wayne.
1985—United Auto Workers Local 95 members vote to change their working conditions—the chief change is a new work week of four 10-hour days—to try to win a replacement product.
1986—GM announces that Janesville will receive crew-cab pickups as an interim product with 1,100 people, 700 fewer than the previous pickup line.
1987—GM announces that Janesville will receive the remodeled version of its medium-duty truck, which will be transferred here from Flint, Mich. Total employment, hourly and salaried, stands at 6,500.
1989—Medium-duty truck production starts here with about 1,200 jobs, not 1,800 originally announced by GM.
1990—Compact car production ends in Janesville; plant being renovated to make full-size sport-utility vehicles. Employment stands at 5,500—4,950 hourly, 550 salaried.
1991—SUV production starts here at slow pace.
1994—GM and Isuzu Motors work together to make commercial low-cab forward medium-duty trucks in Janesville. 600 workers from other idled GM plants transfer to Janesville.
1999—Janesville plant starts making a new generation of full-size SUVs while trying to boost productivity by eliminating jobs.
2002—Production of medium-duty trucks moves back to Flint, Mich., taking 800 jobs from Janesville.
2004—GM announces the next generation of full-size SUVs will be made in Janesville and two other plants.
2005—Chevrolet Suburban receives a three-peat “Best in Segment” designation in the J.D. Power Initial Quality Study. GMC Tahoe is ranked second and Yukon is ranked fourth in the segment. The 50,000 Isuzu/GM gas low-cab forward medium-duty truck is built. Preparations are underway for the new GMT900 line of products. The Janesville plant produces its 16 millionth vehicle.
Also, in November of this year, the GM plant in Janesville escaped a closing or production cutbacks list. It was told that it would continue building full-size sport utility vehicles such as the Chevrolet Suburban and GMC Yukon for the foreseeable future and perhaps the entire product cycle—six to eight years—of GM’s next generation of full-size SUVs—if the market allowed.
2008—GM announces it will eliminate the second-shift and about 750 jobs at the Janesville plant in July. Before the announcement, employment stands at a total of a little more than 2,800.
Jun 6, 2008 at 10:31 p.m.
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Its not the end of the world believe it or not..... Its just the end of the LINE!!!!!
Jun 6, 2008 at 4:54 p.m.
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Plus they have mass transit making it easier to commute.
Jun 6, 2008 at 2:59 p.m.
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Kenosha comparison: Gas prices are putting a squeeze on bedroom communities. Plus being between Milwaukee and Chicago is a lot different than being between Madison and Rockford.
Jun 6, 2008 at 2:50 p.m.
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Anyone trying to make comparisons to Flint, Michigan needs to do their research.
"Of the nearly 80,000 people that worked for General Motors in Flint during its peak years in the late 1970s, only about 8,000 are left after the most recent 2006 buyouts."
http://en.wikipedia.org/wiki/Flint,_Mich...
Jun 6, 2008 at 1:35 p.m.
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I think it's time to become the Las Vegas of the Midwest and start building casinos around Janesville!
Jun 6, 2008 at 1:13 p.m.
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We could turn into a "Kenoshoa", but we could more easily turn into a "Flint Michigan."
Jun 6, 2008 at 11:57 a.m.
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Read the Economy section of this article. This could be janesville in the future only if the proper steps are taken http://en.wikipedia.org/wiki/Kenosha,_Wi...
Jun 5, 2008 at 10:06 p.m.
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I hope Janesberg doesn't turn into the next B-town.
Jun 5, 2008 at 3:54 p.m.
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Nothing wrong with a half full cup! :^)
Jun 5, 2008 at 3:47 p.m.
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Notta chance jp53545. Janesville still has tons of growing to do. Do you really think that our city planners haven't been thinking about this for over a decade now? This could be a very lucrative spot for the right business/industry. Janesville's gonna be fine. Possibly even better off in the long run. I'm sorry. My cup is half full today.
Jun 5, 2008 at 3:26 p.m.
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Here's the deal: Janesville is far too small of a town for this kind of economic loss to be anything other than an unmitigated disaster. The loss of GM is catastrophic, and that together with the loss of related businesses and income will have ripple effects from which it will take Janesville years to recover if in fact it ever can. Housing sure will be cheap to buy, though.
Jun 5, 2008 at 2:58 p.m.
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Ever hear of filibustering? Most of the countries in the middle east have hated us since we reconized Isreal as a country back in the 60's.
Jun 5, 2008 at 2:20 p.m.
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sorry-
8 years ago you had a Republican President and a Republican Majority in both the House and the Senate, and had that majority until 2 years ago. Ummmmm, it seems to me the Republicans wasted their opportunity to vote for drilling for oil and building refineries.
If the Republicans had the majorities in the House and Senate AND a Republican President, then how would the Democrats be able to out-vote the party that had all the majorities for 6 years? You had your majorities, and you STILL blame it on the Democrats. WOW!
Jun 5, 2008 at 2:13 p.m.
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Sorry: I am not sure how old you are, but I do remember when not all these countries hated us. I have watched our popularity go down as our government has become more greedy and power hungry. I agree Saddam was a huge problem and a ticking time bomb, but I wasn't one who believed he had WMD. Now, about the drilling. It isn't as simple as just saying, oh there is oil lets drill. The big picture has to be seen. There are envionmental issues to consider with the drilling also. It may have been voted down, but with that has come the research into finding ways to do it with the least environmental impact possible. If we keep killing the wildlife, the vegetation and yes, even the bugs, it will impact human life as well. We have made the mistake before of rushing in and acting before things were thought out. I agree that we should tap into our own resources, but I think it should be done correctly so we aren't regretting it later on. Don't we already have enough regrets about past decisions that we wish we would have thought through first?
Jun 5, 2008 at 1:34 p.m.
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Wiskitty news flash these countries all hated us before Bush. As for Iraq how many times was Saddam told he needed to comply to UN resolutions. Like you said don't believe what the media and news tell us, anyone who does think Saddam had WMD is kidding themselves. Just because we cant see something doesn't mean it doesn't exist. As for the Dems in this case I do blame them for high gas prices. 8 years ago and several times since the repubs have tried to pass a bill that will allow the drilling and building of refineries and everytime the Dems voted against it. It's a fact, plain and simple. I think it sucks that the people GM support(DEMS) are the ones that blocked these bills and now they have essentially help shutdown the plant here.
Jun 5, 2008 at 12:32 p.m.
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Dear sorry, It is not I that needs to open my eyes. I wish I could shut them tight and live in denial. You blame all this on Democrats and third world countries. Haven't you noticed that whether they are Democrat or Republican, it just doesn't matter anymore? They all lie anyway. It is mostly about power and greed now, it certainly isn't about what is best for the people or the country. You say one man can't be responsible? You need to go read about Hitler...one man can be blamed for a whole country's problems. Bush has angered the wrong people, now we all have to pay...AGAIN! We are already paying dearly for a war we shouldn't have even started, at least not on the false pretenses we were all duped into believing. Talk about a huge cost to this country, and not just money, but also human lives. The US had never attacked anyone first before. Then Bush lies about weapons of mass destruction, attacks, the lie is made public...now we have lost credibility with other countries. We impeached Nixon for Watergate, why wasn't Bush impeached for all his mess? Plain and simple...money and greed. Our own country is circling the bowl and where is all the money going...overseas to "help"...NOT, it is being used in an attempt to buy friends back. Helping the other countries is great, but it isn't being done from the heart, there are strings attached and that is wrong. As far as the oil supply, I can hear OPEC laughing all the way over here. You may want to open your eyes and see the other side of the coin. Talk to people from other countries and pay attention to the lies our governement tells..Republican and Democrat. Don't be so niave that you believe everything you hear on TV and read in the news.
Jun 5, 2008 at 11:38 a.m.
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UH I cant believe people didnt realize this earlier, I knew this was going to happen years ago it was just a matter of time. People say "Oh this is such a surprise" Making only SUVs in these times is not very smart thinking how is that a surprise? Who the hell wants a suv right now that costs 100-150$ or more to fill up, when people cant afford to pay their own bills to keep their house. Foreclosures are up 65 percent from last year. Prices go up for EVERYTHING and guess what? your paycheck stays the same. I feel like I am in a foreign country and want to escape to the U.S for a better life. but the complete opposite. kind of ironic. And you can all thank your wonderful president bush and our government for being so corrupt. If nothing changes soon our near futures arent so bright.
Jun 5, 2008 at 10:14 a.m.
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Darius: I love your posts. Though my heart also goes out to the GM folks that will have some obstacles to face in the near future, you're right about the need to open their minds to new world of technology and ultimately finding the liberation in all of this. Very inspirational!
Jun 5, 2008 at 9:57 a.m.
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Wingnut 721
For sure. One valuable life lesson I learned in my 10 years at GM was the fact that there are so many other people out there who certainly had it worse than me. Infact, I often thought how difficult it must be for other people to make ends meet when it seemed like I was having a struggle making $27/hr! The more people make, the more they seem to spend. Which is why there are many people outside of GM who made less than half of what GM employees made and were able to build a bigger savings or "nest egg" for themselves. It's all a mindset. It's not a knock on anyone, it's just the way our brains have been taught to think our whole lives. It's called "industrial age" thinking. Now in the "information" age, there is definately a pot of gold at the end of the rainbow, however, it will require re-tooling the brain and learning different principles to attain it. You don't have to be smart to prosper in the new age, you just have to be willing to learn new information and become WISER! Which, by the way, was a major change for a person like me! It was hard to humble myself to learn new info. when at that time, I thought I already knew everything! (Gulp!) I was very wrong! I wish everyone the very best in these trying times. I truly do. God bless.
Jun 5, 2008 at 8:34 a.m.
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Thank you hankstevens! Great article. Keep the ideas and suggestions coming. You never know who might be reading this. My big idea is construct a massive indoor/outdoor waterpark. People from Illinois would love not having to drive all the way to the Dells. GOLDMINE!
Jun 5, 2008 at 7:22 a.m.
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Darius, your comment of "Otherwise, it was nothing more than a dungeon of horror." cannot go by unnoticed, man......that totally sounds like my 7 years working for Ashley Furniture in Arcadia... lol, and to think, we had no union(i say "had" because I am no longer an employee there, i got out before it got even worse), so we pretty much got bent over the table at every opportunity. how sad history repeats itself, union or not....god bless corporate america!
Jun 5, 2008 at 5 a.m.
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'angeroonie', your positive contributions to this discussion would be appreciated by a few folks closer to my neck of the woods.
Paper mills are notoriously capital intensive but a well oiled machine and dedicated residents can manage to take heart in the future:
http://www.nytimes.com/2008/06/05/nyregi...
Jun 5, 2008 at 1:19 a.m.
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Home based businesses are where the future is at. GM workers, don't let your future be dictated by CORPORATE AMERICAN bullies like GM! I can feel your pain. I walked the "bricks" at that place for 10 years. The only rewarding thing I pulled from that place was some great friendship from some awesome people. Otherwise, it was nothing more than a dungeon of horror. Life isn't about how much money you can make. The money doesn't make you happy! It's the time you can create for yourself and your loved one's that really matters! You may not see it yet, and I totally understand, but, you've just been liberated! It's time to begin the rest of your lives! Make it count! I wish you all God's blessings!
Jun 4, 2008 at 9:50 p.m.
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cmg75 Thank you! Let's not give janesvillezero the audience that he so obviously craves. One has to wonder how such a successful and self proclaimed "respected businessman" finds the time to come on a message board and chat for several hours a day. HMMMM. I suspect he/she is tapping away at their computer in their basement as we speak. It's actually kind of scary that some people create these little fantasy worlds because they never got over very apparant jealousy issues from their childhood. ANYHOW. When you cut through the inevitable negative comments here, what I see are mostly positive and inspirational ideas for Janesville's future and the future of those that will be most affected.
Jun 4, 2008 at 9:34 p.m.
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Janesville Hero -If you are so smart, why do you spend so much time on here criticizing everyone else? It seems like an intelligent person would be able to find a more productive way to spend their time. Also,intelligent people would be able to back up their beliefs with some sort of logic or facts. Have you said anything that is logical or factual?
I don’t believe for one second that you are a leader or have above average intelligence. You have not demonstrated any leadership skills nor have you demonstrated that you are an intelligent person in any of your postings. Actually, you talk in circles, which makes you sound like an idiot.
One last thing, if you are so sure of yourself, why do you feel the need to defend yourself every time someone replies back to you? Isn’t that a little below someone with such power and knowledge?
Jun 4, 2008 at 6:31 p.m.
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re: ANWR drilling. There is not enough oil in ANWR to make a significant impact on fuel prices. The biggest misconception is that all the oil would go directly to the U.S. It would not. The oil drilling would not be owned by the U.S., so the oil companies are free to sship it to whomever they wish, and only a small percentage would actually make it to the U.S.
Jun 4, 2008 at 4:25 p.m.
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Sorry, JanesvilleHero, but you are not using me. I am sorry you have such a cynical outlook on life and feel bragging about yourself on the gazette's website will make you somehow cool. The point is if all you do is sit back and complain, you are no better than anyone else. If you are not part of the solution, you are part of the problem.
Jun 4, 2008 at 3:38 p.m.
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14isntenough: You say "I will lose my job like many others, but I'm not here to complain. The fact is many of the complainers are the people who for whatever reason hate GM & their employees."
You are right-and I’ve seen it all along. Someone name the complainers! Who are they and who have they been all along? Where are the GM complainers? Name them (their gazettextra name will do!) Then name the "others"-the real whiners. Those who claim to be “heroes” or-(well-we all know who I mean) who put themselves head and shoulders above the likes of an uneducated, drugged up factory worker (obviously the only kind of lives the real complainers are familiar with in their realm of existance) are the main "complainers".
I've heard complaints even that our local auto factory has been called "The plant" like it's some sort of “important edifice”! So what-it’s been here around 100 years! It’s been a huge-a tremendous-part of the city. It’s been called “the plant” since before most of us were born. Count all those that come close to that local record. You won’t run out of fingers-probably not even on one hand.
I’ve heard complaints that GM workers think they’re really important to suggest the city in general will be affected by the closing but, they say, it won’t be affected except to be better off, then I’ve heard complaints that other people will be adversely affected by this closing but not GM workers and that makes GM workers even worse than before because their company is giving them benefits. Which is it?
I’ve read the complaints that there are too many GM articles, and now that those articles are seemingly endless the last 2 days-who dominates them? The complainers-and not ones from GM-but ones who can’t live without ripping them apart.
To all of you GM workers, yes-you who have ordinary lives who got your job through fortitude or fortune, and gratefully give all you have to earn the wages and benefits you’ve deserved all these years-I’d suggest you network your thoughts, share your news and views, pass along your ideas by private conversation available through the private email feature here, because there’s no reasoning with irrational, uncivilized creatures. This is only feeding the trolls and allowing them to vent their irrational rage at those who share the same latitude and longitude (and whose county has been better off because of the likes of many of you even though they’ll never admit it). It is presently, apparently, their whole life. I’ve never been ashamed of my hometown, (and previously my home), before, I’ve talked about it with pride. Until now.
Jun 4, 2008 at 3:29 p.m.
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If you stuck to the facts it would be fine. Its when you bash other people quote:
"Well it's about time. Good riddance to a relic that should've closed years ago. Maybe now Janesville can move on from it's trashy car-plant image and grow into a city of intellectuals and individuals who can make a more positive impact on society and their neighbors. But considering the quality of most around here and the GM folks who'll be wandering the streets soon...I'm guessing this town will only get worse. It's too bad for us all."
I would call that slander...and I can see why people like Annie50 would take offense to it and try and defend her father! A true Hero as you call yourself would not say things such as this! Try just sticking to the facts and maybe you won't get attacked as you call it.
Jun 4, 2008 at 3:14 p.m.
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And BiGCaT, you'll notice I start by leaving my opinions. Just like most others. I only get back on and send personal replies (not slander) to those who first engage me! Check your facts. And I don't need to send friends on here to support me. To be honest I've yet to figure out who cannotsay is. I find it humorous you are so appalled by the fact someone may agree with my beliefs...and NOT yours. Boo hoo.
Jun 4, 2008 at 3:09 p.m.
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Sorry Jade, but I actually don't live here full-time. I have more business interests here. That is all. I go where the money is. There are plenty of people like you I'm able to use to live my way on my terms. It's rather nice!
Jun 4, 2008 at 3:06 p.m.
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wiskitty blaming Bush? Open your eye's and see the truth. If the Democrats would quit blocking Drilling in Alaska and Building of new refineries then gas would not be the problem. One man cannot be held accountable for the death of the suv market. It all comes down to one fact CHINA,INDIA and other 3rd world countries are consuming more oil then they did 5 years ago, that means less oil to go around. That is simple economics.
Jun 4, 2008 at 2:55 p.m.
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(As I clap) Yeah for JanesvilleHero!! I don't care if he is succesful and I really don't care if I spend money in his store. lol! I really don't care if he is a "Hero". ( Still Clapping) :^) However JanesvilleHero you really don't offer much in debate other than slandering people and trying to make them feel lesser than you. Only those who are full of themselves would get on a blog and toot his own horn about how succesful you are and then send a friend into blog to back it up! LMAO!!! :^)
PS: CannotSay we probably really wouldn't be surprised who it is nor would I send him to Washington to represent anyone with his constent degrading of people!
Jun 4, 2008 at 2:34 p.m.
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GM HATERS REJOICE! That should have been the articles headline. I read most of the articles & some posts, but today is the first day I felt like commenting. I will lose my job like many others, but I'm not here to complain. The fact is many of the complainers are the people who for whatever reason hate GM & their employees. For the people bitching we get paid until the end of the contract BOO HOO. And when the next contract comes up they'll probably keep paying us if their are no job openings at other plants. That is why we have a Union & negotiated that deal. That way GM can't close plants without paying the price. We were promised the next generation of SUV's with the clause as long as there was market demand. The gas prices have killed the demand & consumers need something better. GM should have seen that years ago, but they are short sighted. Don't feel sorry for us feel bad for all the Lear seating & LSI workers who won't have a chance to transfer to other plants. Some of us will go back to school, others will find work else where & many will try to get jobs at other plants. Long after we are gone the same people will be bitching, but now they'll have to find another group to complain about. Good Luck to everyone this effect, but life will go on. Personally I'm glad to have the Summer off with pay. Thank You GM. Would I do this job for $14 not on your life.
Jun 4, 2008 at 2:27 p.m.
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I know JanesvilleHero very well and can attest to his abrasive nature. Every time he talks about topics on here, I think to myself, "What a crummy viewpoint" or "That isn't very nice." But, what I always say immediately after is, "But, he's right!"
Most of you will probably never understand him, and you would probably need to know him well to get his humor. But, he is a great person that would, and does, give people the shirt off his back when they are in need. He may point out their series of poor decisions that led them to the need, but he always takes care of people.
He runs a very busy and profitable business in Janesville and many would be surprised to know who he really is. The people that attack him on the forums here are certainly also his customers. Remember that the next time you are frequenting the best Janesville has to offer, and no it is not a bar.
Everyone knows that janesville is on the downslide but is unwilling to admit it here. Don't attack the messenger just because he offers educated opinions on topics you are unwilling to admit are true. If everyone were as up front and honest about everything as JanesvilleHero, things would go a whole lot smoother.
Send him to Washington and see what he does with the criminals there...
Jun 4, 2008 at 1:40 p.m.
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JanesvilleHero, all your comments degrade the community and it citizens. If you are so unhappy with the area, why do you live here? Perhaps, you are not as smart as you think.
Jun 4, 2008 at 1:28 p.m.
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Poor GM workers....I heard they get 2yrs pay AFTER the plant closes. Keep handing them the golden spoon and they keep crying "poor me". This is why it doesn't upset me that the plant it closing. Nobody else in any other business would be handed this parachute and I bet they wouldn't be sitting on here bitching about how bad they got it!!!!!
Jun 4, 2008 at 1:09 p.m.
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I agree that unions are a bit outdated and have seen them cause more trouble than they help. It's awful about GM. This will have an impact of great magnitude for Janesville and many other communities. Looking at the big picture is not pretty. I also agree WI taxes are too high to attract the businesses. As far as gas prices,I do hold Bush responsible. Does anyone else realize how angry at us most of the world due to his actions? I have friends and family in other parts of the world and it's sad to hear other country's views of us. Things are backwards in this country. We used to be free, now the government and big busines owns us. The only ones that have rights anymore are big business and the criminals. A government for the people, by the people no longer exists. Jobs are ripped away and out sourced to other countries. How about brining the jobs from the GM plants in other countries back to the US? How about our governments help their own citizens for a change? I'm not a cold person and love to help others, but I also believe charity starts at home. Society's values just astound me. No one wants to help anyone unless they get something from itand money is God now. Massive unemployment, no one asks to lose their jobs. GM workers make a lot an hour, why are they condemned for that when sports figures and celebrities make millions? I think people who are actually making needed products and providing needed services should be making the most money, not entertainers, governement workers, and CEO's! And how about that bronze Fonzie statue they had to have in Milwaukee? That money (I don't care if it was donated!) could've fed many people! How ridiculous! Maybe they could've set up a gas fund for low income people so they can get to their low paying jobs. Between gas going up and now another major job loss on the horizon what are people going to do? I'm a nurse and loss of jobs means loss of health benefits, and we all know how expensive health care is. People with no benefits tend to be more ill by the time they seek health care because they don't want to rack up the bills, so their health needs are actually more by the time they seek help. GM closing is a HUGE impact on this whole area and the whole state.
I think the idea of a new plant should be entertained and the museum idea for the old plant is a good one. Like someone else said, " Make lemonade out of these lemons..." that WI has been dealt. There HAS to be a way to preserve these jobs. If things don't change, people will have to move to other countries just to make things for the US! How about all the government officials and the CEO's of all the companies take pay cuts?? Don't hold your breath waiting for that to happen! I have a better chance of finding the Fountain of Youth!
Jun 4, 2008 at 12:14 p.m.
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And thanks for asking, Edgewater. I'm doing well. Encountering friction amongst the mindless masses, as usual. Too bad I did not hear back from you earlier when I was in your area. Will you be visiting the U.S. anytime this summer?
Jun 4, 2008 at 12:10 p.m.
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hankstevens, you still just don't get it, do you? My little smiley faces and "lols" were purposely placed to add effect to my point. I wouldn't expect someone of your caliber to receive its true meaning. People like you amuse me. Attack me if you will. But I'm still making money off of simple folk such as yourself, because almost everyone in town visits my place of business often;-) :-) LMAO! And I'm surprised it took you so long to use the old "jealousy" attack when GM workers/supporters encounter debate against them. See you in my store soon, I'm sure! Thanks!
Jun 4, 2008 at 11:56 a.m.
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They are absolutely corect in saying that the GM worker will get the benifits they need to land on there feet. It really is not the GM worker that will have the greatest effect on the Janesville economy. They will be the least of the City of Janesvilles concerns. It is all folks that work for other local companies that supply GM that will have the impact! These folks won't get the same support no matter how much the Govenor or Local 95 promises. These folks will do what ever they have to to support their families. They will feel cheated (rightfully so) and will carry a chip on their shoulder for quite some time. These folks didn't make the high dollar wage that the GM worker did...for most it was alot less. They to will lose their health care benefits and will have to find a way to make ends meet the best way they can. These folks won't get the oppurnity to re-school themselves...instead they will compete for a job with people who already are unemployed or working for a temp agency for even less than they make now and probably with no hope of getting benefits!
We all will be effected in 1 way or another...if you don't think so then you better buy bullet proof glass for your glass house so it don't break when it does affect your life. Will things get better...Absolutely but it will take some time and alot of work!
Jun 4, 2008 at 11:43 a.m.
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wingnut: your 20 years too late in now offering concessions. There is more than one place to blame in this fiasco. That said, the UAW needs to quit blaming high management salaries everytime a contract comes up. Rick Wagner is over-paid, however, divide all the executive salaries among GM's workforce and were talking about a $1.00 an hour at most. For GM to compete, they need wage and benefit reductions in the $10-20 an hour range and they needed it back in 1990. The goose is on life support.
Jun 4, 2008 at 11:05 a.m.
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wingnut: That is part of the problem. You can't keep paying wages that high and compete with the companies that are not. I agree with an earlier post that basically said that the UAW has outgrown its need. I would venture to say that most of these people that work for GM would rather take a significant pay cut than lose their job. I know I would rather earn $10 buck less an hour and at least still have a job with a very competitive wage. I think the union failed these workers and concessions should have been made much earlier. I believe that the workforce is probably one of the best GM has but GM can't afford to keep paying wages like this.
The idea to build a new plant would be great and would benefit this area and our state greatly. Can you convince the rest of the state to pay taxes towards something like this? I would definately agree to it but the vast majority won't because they can't see down the road far enough to see how it would in fact help.
Jun 4, 2008 at 10:04 a.m.
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billy- I am glad to hear of your support for the GM workers, and i read and re-read your outline for a new plant in Rock County to make the new models. I LOVE THE IDEA! it seems feasible and makes sense, i just wish that the GM brass could see past their last pay raise and realize this golden opportunity! but knowing the way the business world works, it wouldnt shock me to see all these laid off GM workers(such as my father) find different jobs elsewhere, only to have GM turn around and say either they will build a new plant in Rock County or retool the old one again, outfitting the plant to built cars again, only to bring in new hires at $12 an hour....that wouldnt surprise me in the least.
Jun 4, 2008 at 9:09 a.m.
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Ladies & Gentlemen,
Look around you, what has changed? The pro union anti business, high tax state in which you reside still exists as it has for much to long. Lived there for 27 years and when you are inside the house with the drapes closed you cannot see the sunshine outside. Departing the house (the state of WI) you see a different world and a much different tax, social structure and quality of life truly does exist.
I feel sorry for anyone losing their positions but really just how long did you believe it was going to last.
One last thought; how long will the union leadership from the shop continue to receive their basket full of eggs or will they retire with a package much bigger than the men and women who entrusted and followed the cult?
Jun 4, 2008 at 9:07 a.m.
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JanesvilleHero said "This is hitting you hard, I can tell. I do wish you luck, believe it or not."
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"This" is hitting me hard not because I'm an employee or a family member of an employee. In fact, I don't know anyone who works at the plant. "This" is hitting me hard because I hate to see good jobs disappearing and families suffering. I have an aunt who got stung by the Famous Footwear headquarters move to St. Louis, a friend who is still looking for a job after his position was eliminated several months ago and a co-worker's spouse who lost his job in the Lands' End downsizing. It's hard to watch those families struggle to get by. And all were professional positions that required college educations.
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I like BillyDurant's idea, though. I'd love to see it happen.
Jun 4, 2008 at 9:06 a.m.
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MOCO428,
I believe I posted earlier I feel a ton of empathy for the families who may have some tough times ahead. "What doesnt kill us, will make us stronger." I do hope that the children of the displaced workers see the value in realizing dreams, independence and aspirations for themselves.
I am not a teacher. I go to UW-Whitewater part time an education major. If/when I decide to teach, it would be a step down in pay, but the rewards will be unbounded. I own two business' in Janesville and have since the mid 90's. I grew up here, left and came back to raise my children. My grandfather told me when I was young(1960's) that unskilled labor has no guarantees, no REAL security, and more importantly no aspirations to improve one's self or the world around you.
I do believe the best decisions ever made were ones that were educated decisions. I believe that teaching can change the world ONE child at a time.
Moco, I am glad you supported the teachers. I believe every one should. FYI, my head is not buried anywhere, thanks. I appologize if my opinion offends. It doesnt change it, but I do appologize.
Jun 4, 2008 at 9:01 a.m.
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Why don't you ask the management of G.M. why they never produced the car that their designer Louis Pappas built back in 1982. It averaged 105 mpg on the highway and 75 mpg in the city. I saw an clip of it in the Nov. 2006 issue of Hot Rod magizine . This was not a hybrid but a regular gas engine.
Jun 4, 2008 at 8:30 a.m.
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I see a lot of comments about trying to convince General Motors to place a new product line in Janesville Assembly. This will not happen. It would be cheaper for General Motors to build a completely new assembly plant in the area rather than re-tool the current one. A new paint shop and body shop are the most expensive parts of the plant. The current layout of Janesville Assembly is outdated and not a flexible plant to capable of building multiple lines. I think the Governor, Janesville City Management, Beloit City Management, UAW Local 95 and General Motors need sit down and hammer out a deal and what it will take for the corporation to build a new plant in Rock County. There is plenty of land on the I-90 corridor between Janesville and Beloit that would be attractive to GM. Still has easy access to rail lines, easier for trucks and even the best workfoce.
Wisconsin and Local 95 leaders should also be meeting with the leaders of Lansing, MI. Lansing is the home of the two newest GM plants in the United States. Before Janesville had the oldest GM plant in the world, this title belonged to Lansing (Lansing Chassis and Lansing Body). Once GM decided to shutter their oldest complex, the UAW, local Government and GM got together to hammer out a deal to bring car production to Lansing for another 100 years. Lansing now has Lansing Grand River Assembly (2001) and Lansing Delta Township Assembly(2006).
A new local competitive operating agreement should be the backbone of these discussions. The Janesville area already has the best workforce in General Motors' stable. The leaders should also petition for a new stamping plant adjacent to the assembly plant. Possibly even an engine and transmission plant to complete the world-class complex.
No doubt, if the current leaders come up with a nice package, General Motors would be hard to refuse the deal since they will inevitably need more small car production capacity in North America as the economy moves away from truck-based vehicles. Right now, GM only has Lordstown, Ramos Arizpe, San Luis Potosi and Hamtramck (Chevy Volt 2010) as their small car plant capacity in North America. (I did not count the plants making midsize vehicles such as the Malibu.) The corporation WILL need to have a new plant to keep up with the demand of small and compact cars.
Area Leaders - please come together and start the framework to a NEW plant in Rock County.
Jun 4, 2008 at 8:10 a.m.
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I feel bad for the people of Janesville. It really unfortunate. This is what happens when Daddy thinks the golden goose never runs out of money. Too bad the UAW didn't rein in their demands earlier. This whole crises could have been averted.
Jun 4, 2008 at 7:30 a.m.
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futureteacher: I supported you and all the other teachers during the janesville teacher contract mess. Here is something for you, if you don't like the wages and benefits the JSD are willing to pay then MOVE. I know for a fact that there were some GM workers that supported you, maybe you could show some compassion and give a bit back. Do you think you will ever change the JSD? I doubt you will, so take some of your own advice. These are people's live and it is not as simple as you make it out to be, pull your head out of your ...
Jun 4, 2008 at 7:24 a.m.
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For the last few weeks many workers were wondering if they would be eligible(seniority wise) for working when they cut to one shift. Now they are very worried if they will even have job at all.I can't think of many things more stressful than being able to support your family.
Jun 4, 2008 at 7:20 a.m.
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Welcome to evolution 101, where the strong survive and the weak . . . move. You can follow or you can lead or you can sit still, whine, and bitch about things you will never change.
Jun 4, 2008 at 6:51 a.m.
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New manufacturing companies such as Toyota or Honda have built plants in other states because the taxes are lower. Sure we got a great workforce here but, the taxes are driving away business.
Jun 4, 2008 at 6:25 a.m.
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optimism: You are right all of these people do pay taxes, eat, and buy things here. It will be a lot of dollars out of the local economy but I doubt it will have the impact all the pessimists of the world believe it will. Janesville is a prime location for people who travel to outlying cities for employement. It is not far from Madison, Rockford,Milwaukee or Beloit which offer quite a few job opportunities. Yes all of this will have an impact on the city but saying it is the end might be a bit premature.
Jun 4, 2008 at 6:11 a.m.
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displacedworker. you are right but aren't the Toyota and Honda plants non-union? I don't doubt the quality coming from our plant but I bet they aren't paying near the wages down south and I know for sure that in Kentucky (Toyota) it is a right to work state. I'm not trying to say you are overpaid but they definately aren't making your wages. It would be nice if another automaker looked at this facilty and saw something in it.
Jun 4, 2008 at 5:34 a.m.
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I would hope for the next generation eletric vehicle be designed and put into full scale production by the smart local population. Wouldn't that show GM and all of the synics out there what Rock county and J-ville is all about. Wish upon a star. Click your heels together 3x. Rub the lamp and hope for the best.
Jun 4, 2008 at 5:19 a.m.
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I've read 300 comments on GM closing stories. I've never been so embarassed at the lack of compassion and commen sence of most of these bloggers. THE WORLD is capable of seeing these comments. Lets show the world our work ethics and show our resolve. Ok gm vehicle sales are down, Honda Toyota and Nissans are up. We have a plant. We have good workers that have already agreed to a pay cut and insurance concessions. We have suppliers set up. We have direct roads and railways. Lets appease Honda Toyota and Nissan to build here! Lets show them we care.
Jun 4, 2008 at 2:52 a.m.
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Time to make lemonade from lemons: Historic Janesville, way too underdeveloped in terms of its rich legacy, now has the oldest GM plant to utilize in cooperation with GM to establish a state of the art museum. It could commemorate US manufacturing, factory management, labor and its colorful, struggling history intertwined with them, and civic unity between big business and municipal interests. Think of the hundreds of thousands of lives, millions of worker hours, reams of untold stories within those walls throuigh the various periods of our history! Documenting them, sharing them, displaying them, honoring them - this could be an amazing outcome, with historically preserved facilities, employee stories, and intelligent tours effectively utilizing both the massive plant and its rich history to educate and entertain visitors - local, state, national, and international. What an American story (including its demise)! Planning efforts on several fronts should be running at it full gear now. City leaders, GM officials, historically dedicated politicians, local volunteers - hopefully all will work together in this visionary manner. And what an Ammerican chronical over the decades, and what a tribute it could be to the hundreds of thousands who have served and the community they have lived in.
Jun 3, 2008 at 11:47 p.m.
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There is much to read and I am sure that by the time I finished and refreshed the page, there would be much more.
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I love Wisconsin, and I love Janesville. This is all very tragic news, but I wasn't surprised one bit.
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Red..... you made an outstanding post. I was thinking the exact same thing when I heard the plant was closing. I do believe, though, that by 2020 the population of Janesville will drop by 1/3 due to our inability to adapt. I seriously hope I'm wrong.
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I'm also living in So Cal. I'm paying about $4.30 a gallon right now (mid-grade.) A little more than a week ago it was $4.20. Before that it was around $3.93. My car had been in the shop about a week and a half, but before that, it was around $3.83. It seems this will -never- stop. Not even one solid month of the same price. I flew from Japan to So Cal in November, and I asked my cab driver about gas prices, and a comparison of on base versus off base. He eventually said that he believed that while gas was around $3.30 (I think), the prices would probably drop to around $3.00. Then, a few months after Christmas, they would shoot up to $4.00 or so, and no one would be able to do anything. He was right! (Not surprisingly so).
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Right now Green is the way to go in California. I do not like California one single bit, and I think they should all... "live in eternal pain" for saying they have better dairy than Wisconsin! However, they are on the right track as far as energy goes. Wisconsin needs to take the lead in living green. I think if we did that, we could benefit greatly.
Jun 3, 2008 at 11:46 p.m.
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What plans are there for the building, land, power, sewer etc that supports the plant? Is Janesville, the county or State going to ensure GM leaves the site environmentally friendly or is the company just going to walk away?
Jun 3, 2008 at 10:57 p.m.
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When I clicked on the story, a Hyundai ad was running in the corner. Kind of says it all.
Jun 3, 2008 at 10:49 p.m.
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norcal1...you are absolutely correct.
As I stated previously...if we could only figure out a way to bottle all of the anger and hostility here, we'd have enough energy to keep the plant going for another 90 years.
Jun 3, 2008 at 10:45 p.m.
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I get really sad when I read all of this. It's like whenever we have something to argue about, that's all we do. When the teacher contracts were up, all we did was argue about that. Then when someone wanted to say the Pledge in Spanish, we were in an uproar about that. C'mon people, we have different opinions, that's obvious and expected.
The plant closing is bad news. We all know that. There is no positive here--but lets not get on blogs and just bicker about each others opinions. If we all had the same opinion....well you all wouldn't have anything to argue about! Take this for what it is...state your opinion....try not to bash each other and move on. Geesh...people are losing their jobs here---don't sit here and ridicule this and that. These are people's lives. Just be respectful and try to be a little positive. No one likes a negative Nancy. :)
Jun 3, 2008 at 10:11 p.m.
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JanesvilleHero... what more can be said about your opinion that hasnt already been expressed? Well, for starters, the plant that is closing basically built Janesville, and now a city that was poised for enormous growth 10 years ago, now has two big empty holes, Parker Pen and now GM...intead of moving forward, this is a hell of a step back and a slap in the face to all the families affected by this, not only at GM, but Lear and other businesses that are right there with GM with their necks in the guillotine. we can point fingers and blame shift all we want, but why when the answer is staring us right in the f-ing face? it all starts from up top, all the way down to Mr. Rick Wagoner, who said that they are planning on launching 18 new crossovers and cars, but going to close 4 plants, Janesville being one of them.... how do they plan on keeping up with this when the doors close in 2010? either Wagoner drank the bong water or he cant see past all the zeroes in his annual salary. Rick, Janesville trusted you to step up and do something for a change. Thanks for nothing. Hope you can realize that its not the market demand that is killing GM, its the same damn thing that is killing virtually every american business, Corporate greed and complete idiocy.
Jun 3, 2008 at 10:07 p.m.
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localboy, no, I wouldn't call milking large vehicle sales a good plan. The biggest difference between the Japanese and the Big 2.8 are the products they sell. When has GM ever had a coherent brand strategy? Why do Buick and GMC and Saturn exist? Rick Wagoner should have fixed that a long time ago. Instead, the longer he waits, the harder the cuts will be. He has yet to outline a specific plan for a return to profitability.
The new crossovers are nice, but sales are tanking along with trucks. The GMC Acadia is down 27.6 percent. The Saturn outlook is down 38.1 percent.
I have no allusions that Janesville GM would last forever. The delay of the closure is also unusual in the business world, and gives people time to adjust. I just think that the crappy GM management has been under reported.
(btw, neither I nor my immediate family is involved in the auto industry; I'm just an enthusiest.)
Jun 3, 2008 at 10:07 p.m.
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Bicker..bicker..back and forth. I just moved away from Janesville after living there most of my life. It did not take me long to realize that in my new community people are actually nice to each other and not demeaning. Janesville may be going through hard times but plant or no plant, education or no education, it does not make a bit of a difference if Janesvillites do not figure out that true happiness comes from kindness and respect to all. It saddens me to read these comments.
Jun 3, 2008 at 9:47 p.m.
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