General Motors, GM is preparing to cut a few thousands jobs, mostly white collar workers, in order to return the company back to profitability.
It is also contemplating to proceed with the selling or discontinuing some of their production lines to cut cost, as well as raising cash. The company is badly hit by the escalating price of oil and raw materials, as well as the brewing recession set to land in the US.
GM was ranked the fourth largest company in the United States by revenue in 2008, raking close to US$200 billion sales, but in truth, it lost some US$40 billion. It is one of the largest auto makers in the world, and was once considered the biggest before it was taken over by its rival Toyota a year ago.
It is expected to return to black only in 3 years time.
General Motors produces a wide range of car and vehicle brands such as Cadillac, Chevrolet, Buick, Hummer, GM Daewoo, Opel, Pontiac, Saab, Saturn and others. The company currently employs over a quarter of million of employees working in over 35 countries worldwide.
Note: A white collar worker refers to salaried professional who handles administrative and clerical job, as opposed to a blue collar worker whose job involves manual and labor work.