GM rebounds: Posts $8.1B 2018 profit
DETROIT (AP) — General Motors posted an $8.1 billion net profit for 2018, fueled by better prices for vehicles sold in the U.S., its most lucrative market.
It’s a strong rebound from the previous year when the company lost $3.9 billion on a giant tax accounting charge.
GM made $10.8 billion before taxes in North America, down about 9 percent from 2017. But it still means big profit-sharing checks for about 46,500 union workers in the U.S. They’ll get $10,750 each, less than last year’s $11,500.
The profits are being announced as GM lays off about 4,300 white-collar workers, many of them at its giant technical center in a nearby suburb of Warren. The company plans to close five U.S. and Canadian factories and eliminate a total of 14,000 salaried and blue-collar jobs as part of a giant restructuring to boost profit margins, prepare for a downturn and invest more in electric and autonomous vehicles.
The company plans to eliminate about 6,000 factory worker jobs by closing three car assembly plants and two other factories. But it says there are 2,700 openings for U.S. workers at factories across the nation.