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Company is hiring hundreds of American workers, building new facilities, and trying to improve efficiency

When you think General Motors Comp. (GM) you probably think of Detroit, Mich.  But the domestic automaker is also heavily invested in Texas, where it employes 4,500 people.  A two-shift plant in Arlington has 2,500 employees focused on building Chevrolet, GMC and Cadillac SUVs.  GM Financial employs 1,800 at various locations across the state.  And there's two call centers with a couple hundred employees, as well.

I. GM Expands Texas Hiring

And GM isn't backing down from its friendship with the Lone Star State, whose former governor George W. Bush was the original architect, and to this day ardent defender of the bailout and structured bankruptcy that arguably saved the company from liquidation.

The company today announced plans to build a new IT center in Austin, Texas which will hire 500 professionals.  Among the positions GM is looking to fill are software developers, project managers, database experts, and business analysts.

The center will be located just miles from other industry giants, such as Apple, Inc.'s (AAPL) largest U.S. call center and Samsung Electronics Comp., Ltd.'s (KSC:005930) massive chip fab.

Arlington Plant
Among other locations, the new Austin data center will help serve GM's large
Arlington, Texas SUV plant. [Image Source: GM]

The IT center is part of GM's bid to centralize its formerly scattered IT efforts, which often operated pseudo-automously on a site-per-site basis pre-bankruptcy.  The IT consolidation should both drive cost savings, and -- according to GM -- "drive breakthrough ideas".  GM says the Austin center is the "first of several new IT Innovation Centers".

 GM Chief Information Officer Randy Mott cheered the move in a press release, remarking:

We want IT to keep up with the imagination of our GM business partners, and to do that, we plan to rebalance the employment model over the next three years so that the majority of our IT work is done by GM employees focused on extending new capabilities that further enable our business.

We anticipate hiring as many as 500 new GM employees in Austin.  We look to the Innovation Centers to design and deliver IT that drives down the cost of ongoing operations while continuously increasing the level and speed at which innovative products and services are available to GM customers.

The next generation of IT workers, the talented visionaries we want contributing at the Innovation Center, are being trained at top computer science schools in Texas and surrounding states.  The IT Innovation Centers are critical to our overall IT business strategy and transformation.

II. Bailout Benefits Finally Being Realized?

GM is also adding a third shift to its Arlington plant, which could raise wages for some and add at least a few hundred more well-paying skilled labor jobs, which come with health care benefits and a pension.  GM is also opening a $200M USD part stamping plant which will "create or retain approximately 180 jobs".

GM data center workers
GM IT workers (L-R) Dan Krzywosinski, Neal Bond and Michelle Lauka try to resolve a client issue at a data center in Warren, MI.  The workers will soon be getting new colleagues in Texas, courtesy of a GM IT hiring/improvement effort. [Image Source: GM]

The company has drawn a lot of fire over the last couple years over accepting government money and opting for structured bankruptcy/government takeover instead of a liquidation.  However, the hiring spree is a welcome trend amidst mass layoffs from the likes of Research in Motion, Ltd. (TSE:RIM), Dell, Inc. (DELL), and Hewlett-Packard Comp. (HPQ) in the tech industry.

Of course, Ford Motor Comp. (F) is also in the relatively small minority of companies looking to expand its domestic manufacturing and professional workforce in the U.S., and it received a more limited amount of bailout funds (in the form of certain Recovery Act grants for advanced vehicle development).

Ultimately the U.S. government estimates its losses on the bailout of GM, Chrylser, Ford, and industry parts suppliers to be around $25.1B USD.  However, that figure does not account for preserved spending power and taxable GDP -- which will likely return billions to the government.  In the end it's clear that something was lost, but something was gained as well in the auto bailout.

Source: GM



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RE: Revisionist history?
By Nfarce on 9/8/2012 2:37:56 PM , Rating: 2
What the hell are you talking about, mouth breather? Bush authorized providing $17.4 billion to GM and Chrysler, with an additional $4 billion available to GM in February 2009, after Obama took office. It was an open ended deal that allowed the wallet to remain open for the next administration to decide what to do. I guess you Obama Democrats don't really care about facts .

http://www.politico.com/news/stories/1208/16740.ht...

And this is irrespective of the fact that your hero Obama took a big massive dump on the GM investors and turned controllership over to his union goon buddies. Start reading outside of PMSNBC, the New York Slimes, and stop turn off Jon Stewart. You may just learn reality through those rose colored glasses you think through.


RE: Revisionist history?
By danjw1 on 9/8/2012 5:34:23 PM , Rating: 2
"In December of 2008, GM approached Congress and asked for a bridge loan to allow them to restructure. While the House passed legislation to accomplish this, it was not passed through the Senate. Days later, the Bush administration initiated a loan through the TARP program which would provide $14 Billion in loans and stock purchases to GM and follow many of the guidelines that were sought in that legislation. This included a restructure plan that would have to be approved by the Obama administration." Source: http://www.thepoliticalguide.com/Issues/TARP_and_G...

Ok, I was mistaken. Bush's Administration gave them a bridge loan to give them enough time to get a reorganization plan together. This was done after the 2008 election. But that was just enough to allow them to continue to operate while getting a plan together.


RE: Revisionist history?
By Nfarce on 9/9/2012 12:47:46 AM , Rating: 2
Yeah I know you were mistaken. Thank you for manning up to admit it. Very few liberals like you do that.


RE: Revisionist history?
By Nfarce on 9/9/2012 12:56:58 AM , Rating: 2
And one other fact : when you hear Democrats gloat about GM paying back the bailout loan? They paid it back with TARP money, not profit...like paying off a Visa bill with a MasterCard. Epic FAIL .


RE: Revisionist history?
By KamiXkaze on 9/8/2012 6:29:04 PM , Rating: 2
That is right the whole bailout ordeal started with the Bush administration.

kXk


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