GM will indefinitely lay off about 1,060 hourly employees at its Lordstown, Ohio plant beginning early next year. The layoffs are part of a broader cut of about 3,600 employees at 10 of GM’s assembly plants, reports the Youngstown Vindicator.
GM’s Lordstown plant currently makes the Chevy Cobalt and Pontiac G5 small cars. The plant was scheduled to begin production of GM’s new Chevy Cruze compact car (pictured below) in 2010.
Rumors are circling that GM is considering delaying the launch of the Cruze in the U.S. Left Lane News reports that the Cruze has been pushed back from a 2010 model year launch to 2011 and that the Chevy Cobalt would still be sold.
The Cruze was supposed to be the Cobalt’s replacement. The Cruze will be built at GM’s new plant in Russia and will go on sale in Europe first in the spring of 2009. The U.S. may not get it until 2011. These rumors have not been confirmed by GM.
Many GM Lordstown employees live in nearby Warren, Ohio, where members of the city’s finance committee had already been preparing for a tight 2009 budget. Warren Mayor Michael O’Brien says he remains worried about maintaining city operations, reports the Vindicator.
Top photo via wytv.com.