August 18, 2009

GM to call back 1,350 workers

General Motors Co. said Tuesday it would call back 1,350 laid off workers as sales jumped with the U.S. cash for clunkers program.

Among the schedule changes, GM said it would keep an Orion Township, Mich., plant open through most of November. The plant had been scheduled to close in mid-September, CNNMoney reported.

In a statement, GM group vice president for global manufacturing and labor Tim Lee said, the uptick is an encouraging sign that vehicle sales are turning around, and we will ramp up quickly to meet that demand.

In addition, we're probably not done, said Mark LaNeve, GM vice president of U.S. sales, suggesting production increases could be added through the year and into early 2010.

A prolonged sales slump throughout the recession led GM into bankruptcy this summer.

The reorganized GM, supported by billions of dollars in federal aid, benefited from the so-called cash for clunkers program in which the government offered rebates of up to $4,500 for some car owners who traded in old vehicles for cars with better fuel efficiency.