According to the Business Insider, the factories are all shutting down as well as the jobs are being cut because automakers are now struggling so as to adapt to the changing scenario in the market.
The most recent example to this is the “de-allocation” announced by the General Motors.
The company would be shutting down three of its plants in the North America which are located in Oshawa of Ontario, Detroit of Canada and Ohio of Warren. The de allocation will take place in the up-coming year, which is 2019.
This is because of the decline in the demand of the passenger cars by the consumers which I urging the shift by the General Motors so as to remain profitable, as was stated by the CEO of the company, Mary Barra.
This however will in return cost about 14,000 employees their jobs.
As per the reporting of the Business Insider, there is more room for the expansion in the United States as well.
An analyst of Morgan Stanley, Adam Jones has predicted that Tesla, the electric automaker could reach as many as 92,000 workers by 2030. This is with the thousands of jobs that are required in the United States immediately at the moment.
As of now, Tesla has been avoiding the hearth of production that is traditional to the auto production of America near Detroit and in the Tennessee region, particularly the farther south region of it.
But now as it looks, especially for the more skilled workers as well as the supportive politicians that locations outside California may also be on its short list.
According to Morgan Stanley, the pitch of Kasich might be a “win-win-win-win” situation for all who are involved.
Source: Business Insider, Consultant Insider
