General Motors to Shut Detroit Plant and Lay Off Workers

General Motors vehicles go through assembly after GM celebrated the official launch of the Chevrolet Volt hybrid electric vehicle at GM's Detroit Hamtramck Assembly

General Motors plans to idle its Detroit-Hamtramck assembly plant for six weeks, according to a new report.

This Detroit plant produces four sedan models which include the Chevrolet Impala and the Buick LaCrosse that have not been performing well.

GM, in an emailed statement, confirmed it "will be making schedule adjustments to keep supply and demand in balance", including the plant operating under a reduced production schedule effective October 20. The planned reduction will reportedly cost 200 jobs at the facility. Sales of the Volt fell 6 percent and Impala 31 percent, while sales of Cadillac's CT6 increased more than 50 percent.

GM won't comment on specific production plans, but did say it intends to keep current production in line with demand. Buick dealers had 284 days worth of LaCrosse sedans in inventory and GM had more than 100 days of Volt and CT6 cars on US lots as of October 1, according to Automotive News. The cut comes as demand for passenger cars continues to fall as consumers shift to crossovers, SUVs and trucks.

GM has already cut deep at the Detroit-Hamtramck plant, including shedding its second shift entirely earlier this year.

Meanwhile, Reuters reported Wednesday that GM has warned a striking Canadian labor union that if it doesn't call off a monthlong walkout, the automaker will shift production of the top-selling Chevrolet Equinox SUV to Mexico. The automaker announced last month that it would cut the third shift at its plant in Spring Hill, Tennessee, as of late November.

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