Many at GM accept buyout

MASSENA — More than 200 General Motors workers have decided to sever ties with the company as it prepares to close its Powertrain plant later this year.

From 225 to 230 employees have opted to accept retirement or a buyout option, said Tony J. Arquiett, United Auto Workers Local 465 president. They faced a May 22 deadline for making their decision.

However, the final numbers could change; workers had a seven-day grace period, which ended Thursday, in which to change their minds.

Company officials said they would not provide final figures on how many employees accepted buyouts or retirement until sometime in mid-June.The company said Thursday that approximately 19,000 hourly workers — a quarter of its blue-color work force nationwide — accepted buyouts as part of its second major downsizing since 2006. That year, 34,410 workers accepted retirement or buyout options.

As part of a deal reached with the UAW last year, all of the company's 74,000 U.S. factory workers were made eligible for retirement or buyout options as part of GM's efforts to hire lower-wage workers.

"Obviously, this is a very difficult time for the industry," said Daniel J. Flores, a corporate spokesman in Detroit. "Hopefully, we will continue to restructure the business and reshape it for long-term viability."

Most of the employees who agreed to participate in the attrition program will leave GM by July 1, the company said.

Just under 100 of the Massena workers opted to seek transfer to a GM plant somewhere else in the country. The plant has dropped to a single production line — L61 engine blocks — and currently has approximately 330 hourly and 50 salaried employees.

"Our people are going to have to try to figure out what geographic area in the country or what plant is best for them," Mr. Arquiett said. "Once a decision is made as to where you would like to go, there has to be a need for extra manpower at that plant."

Normally, such transfers are granted based on seniority, but employees at plants or facilities that are closing are given higher priority, Mr. Arquiett said. Such an advantage could be crucial as a weakened national economy is putting the auto industry under enormous pressure, he said.

"Obviously, as you're getting rid of people, there is less demand in the plants, but one advantage we have is because they are closing the plant, our employees are the first ones who they would try to relocate," he said.

The Powertrain plant is scheduled to close in December.