Lansing Assembly Plant Closed By GM – Semiconductor Shortage
The worldwide semiconductor shortage continues to hit domestic automakers where it counts. GM is the latest to shut down a production facility since it can’t build vehicles without the critical components. The latest GM plant affected by the semiconductor shortage is the sprawling Lansing Grand River Assembly Plant. About 1,400 people work at the plant. The shutdown may last through the end of the month, if not longer. The new closing of the Grand River plant brings the number of idled GM workers due to the semiconductor shortage to about 11,000.
The Lansing State Journal reports a GM spokesman is indicating that even non-union senior-level employees at the plant are being told to stay home. GM’s David Barnes says, "In general, impacted represented seniority employees will receive about 75% of their compensation through a combination of unemployment and supplemental benefits. Impacted hourly employees will be covered through the provisions of their labor agreement." A United Auto Workers Union local president is telling the Journal that any comments about the temporary plant closing will come through the automaker.
The component shortage so far is not impacting the larger GM Lansing Delta Township Regional Stamping plant. That Lansing area gm operation is where Buick Enclave and Chevrolet Traverse models are put together by about 2,500 total employees.
GM’s Barnes says the automaker is doing all it can to downplay the impact of the semiconductor shortage. “GM continues to leverage every available semiconductor to build and ship our most popular and in-demand products, including full-size trucks and SUVs for our customers. We have not taken downtime or reduced shifts at any full-size truck plants due to the shortage."
Last month, Michigan U.S. Senator Gary Peters joined other US lawmakers asking President Biden to take action to alleviate the shortage. The President ordered a federal review of the shortage but clearly, that has not resulted in an increase in production. At least not yet.