Nexteer Responds To Contract Rejection, Layoffs 6-22-2010 - WNEM TV 5

Nexteer Responds To Contract Rejection, Layoffs 6-22-2010

Union officials representing hourly workers at Buena Vista Township’s Nexteer plant continue talks in hopes to get workers back on the job.
Sixty-five employees were laid off just one day after union members voted down a contract that would have cut wages and created jobs. Nexteer’s parent company, General Motors Co., had even denied the layoffs occurred.
READ: Stories Conflict Over Nexteer Worker Layoffs
Now, Nexteer management is now defending its decision to make the cuts.
"Although efforts were underway to transition additional work to the facility, due to the current level of uncertainty surrounding the cost structure at the plant, Nexteer has halted efforts to transition several hundred temporary jobs into full-time positions as well as stopped plans to bring additional jobs to the company's Saginaw plant," said Mike Gannon, vice president of business strategy and human resources for Nexteer. "Without changes to the current financial business model, much of the new business planned for the Saginaw site is no longer viable. As a result, Nexteer laid off 65 employees on Friday.”
Gannon went on to say that he anticipates other actions may be necessary as they complete their assessment and “determine the long-term viability” of the Saginaw plant.
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