GM announces Lordstown plant going down to single shift

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LORDSTOWN, Ohio -- Employees at the GM Lordstown have been told the assembly plant is going down to a single shift.

The news comes just a few months after GM suspended its third-production shift to align production output with slumping demand.

It also comes just days after GM announced the introduction of a redesigned 2018 Chevy Cruze which the company described as the cornerstone of their car strategy.

A company spokesperson told FOX 8's Dave Nethers they will go to one shift; the second shift will be suspended at the end of the work day on June 15.

Employees are also being offered buyouts.

Below is the entire statement on GM Lordstown:

"Last year GM operated the Lordstown, Ohio assembly plant on two shifts. As the market continued to undergo historic changes, it required us to reduce production rates and take numerous down weeks to match production with lower customer demand for compact cars. As we look at the market for compact cars in 2018 and beyond, we believe a more stable operating approach is to match market demand on a one-shift schedule. Consequently, we will suspend the second shift of production at Lordstown late in the second quarter of 2018.

Industry-wide, the U.S. small car market has been on a steady decline since 2014 due in large part to a shift in consumer demand for crossovers, trucks and SUVs. Lower fuel prices and an improving economy are both contributing to this trend.

The car market remains important to GM and Chevrolet since it represents 36% of industry retail sales. The small car segment also brings new and conquest customers to Chevrolet."

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