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General Motors Is Offering Buyouts

General Motors , Is Offering Buyouts.
NPR reports that the automotive manufacturer
is offering U.S. salaried employees
and select global executives buyouts.
Salaried employees must have worked for GM for at least
five years, while global executives are required to
have been with the company for a minimum of two years.
Salaried employees must have worked for GM for at least
five years, while global executives are required to
have been with the company for a minimum of two years.
The move is an attempt to cut $2 billion in costs throughout the next two years as GM transitions to electric vehicles.
The move is an attempt to cut $2 billion in costs throughout the next two years as GM transitions to electric vehicles.
In 2021, GM said it has a goal of only producing electric vehicles by 2035.
On March 9, CEO Mary Barry said that the "voluntary separation program" will be available until March 24.
The option will help to avoid
"involuntary actions" down the road, she said.
By permanently bringing down structured costs, we can improve vehicle profitability and remain nimble in an increasing competitive market, Mary Barry, GM CEO, via statement.
CFO Paul Jacobson said that the cost-cutting tactics are also being implemented to prepare for future recessions and economic downturn. .
He said that while the company's sales are strong, GM is starting to see vehicle prices easing.
We want to be cautious because we don't want to ignore the macro signs that are out there, because I don't want to be up here a year from now saying, uh, we missed it, Paul Jacobson, GM CFO, via statement

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