Big 3 put brakes on auto assembly
Plants in state, North America suspend operations
DETROIT» Ford, General Motors, Fiat Chrysler, Honda and Toyota confirm they will temporarily shut down all North American factories due to the coronavirus threat.
Ford said its plants will shut down after Thursday evening shifts through March 30. Fiat Chrysler’s closures will start in phases on Wednesday and run through March 31. GM spokesman Jim Cain said its shutdown will start also Wednesday and last through March 30; it will take several days to complete the shutdown and operations will be evaluated weekly after that.
“We have been taking extraordinary precautions around the world to keep our plant environments safe, and recent developments in North America make it clear this is the right thing to do now,” GM CEO Mary Barra said in a statement.
The move by Detroit’s three automakers will idle
about 150,000 workers. They likely will receive supplemental pay in addition to state unemployment benefits. The two checks combined will about equal what the workers normally make. Cain said the pay at GM was still being negotiated with the union.
In Macomb County, which is home to three auto plants and numerous parts suppliers, County Executive Mark Hackel says the move to shut down the plants will clearly impact the area’s economy.
“My first concern is that when the auto companies say they are shutting down, how do they put a time frame on when the facilities will reopen,” he said. “Various hospital officials and our own health department says they don’t know how long this will go on. Anyone who says they do know doesn’t know what they are talking about.”
Hackel declined to speculate on the financial losses to the industry.
“The magnitude of this, I can’t even put a number on it. That will be for history to determine. We are just trying to keep ahead of this as best we can,” he said.
Factory workers leaving
FCA’s Warren Truck Assembly Plant Wednesday said they were relieved the company was taking action after days of concern expressed by the workforce and union leaders over the public health threat. They were notified either by company team leaders or union officials via text or phone calls.
“There’s so many people in there, approximately 1,500 workers per shift and that’s a lot of people in one place,” said auto worker Bernandi Cervi. “At this point, I do think it’s the right thing to do even though we as individuals have to take precautions and be responsible. But I think they are being responsible toward their workers by shutting down.”
Another worker, Yolanda Germany, said employees have been worried about their health and safety for the past few days.
Asked what she will do during the shutdown, Germany said: “I will get some good rest. You can’t go on vacation, you can’t go anywhere, you can’t do anything, so I’ll be in the house. I’ll do some cleaning.”
Ford said it will work with leaders of the United Auto Workers union in the coming weeks on plans to restart factories. The union has been pushing for factories to close because workers are fearful of coming into contact with the virus.
Honda announced plans Wednesday morning to close for a week starting Monday, putting additional pressure on Detroit’s automakers. Toyota plants will close Monday and Tuesday, reopening Wednesday after a thorough cleaning, the company said.