California's last automobile plant closes

[Slew Foot]

Not all the jobs created will be at the plant itself. Youll have people involved with local suppliers, shipping companies, support services for the company, etc... Its why even though there were ~4500 people at NUMMI, they estimate about 20K in job losses. Of course, I wouldnt except a democrat to understand economics or business.

 

[bfdd]

... but we're opening a new one. Tesla is opening a plant up in Downey, CA(where I grew up). Also, I know a few people who have either had to close down their business because it's to expensive or are thinking of moving to Las Vegas because they run online shops and can save ASSLOADS by leaving California.

 

[her209]

Not all the jobs created will be at the plant itself. Youll have people involved with local suppliers, shipping companies, support services for the company, etc... Its why even though there were ~4500 people at NUMMI, they estimate about 20K in job losses. Of course, I wouldnt except a democrat to understand economics or business.

Wasn't that the whole basis why the government propped up and finally became a shareholder in GM?

:hmm:

 

[ShawnD1]

Wasn't that the whole basis why the government propped up and finally became a shareholder in GM?

:hmm:

Yes. Instead of making a logical assumption that one company dying means all the other companies soak up their market share, the government made the assumption that people would simply stop driving cars and the market would shrink. Instead of driving to work, people would take the bus. Instead of showing off my new GM Corvette, I would use that money for sex and cocaine (rather than buy a flashy car from a different car company).

Actually that's not how it went. Politicians know the idea is stupid as fuck but no politician wants to lose thousands or millions of votes. Only guys like Ron Paul stand up against this. He seems old enough to have stopped caring what voters think

 

[Budmantom]

State of the Economy has far more to do with it.

And it has nothing to do with Barrrrack

 

[Budmantom]

http://www.breitbart.com/article.php?id=D9EQEAHG0&show_article=1


Meanwhile, Volkswagen is building a new plant here in Chattanooga, TN. Since most people would consider a state sandwiched between the mountains and the beach to be an ideal place to live, I think it's safe to assume that California's tax rate, regulatory climate, and/or work ethic have played a part in the demise of its manufacturing industry. (Or perhaps the Japanese dislike learning Spanish . . .)

Anyway, sucks to be California.

California is Barrrrack Obama's blue print.

 

[DucatiMonster696]

There were only 2 pay union classifications, and the NUMMI plant consistently scored as one of Toyota/GM most efficient plants in 'hours-per-vehicle' assembly cost for small trucks/compacts (somewhere in the 14-15 hr per vehicle IIRC).

Efficiency standards in the Nummi plant only increased after Toyota came in and started running the show for the most part as GM took notes. It was Toyota who decided to institute major changes to the work lines (http://en.wikipedia.org/wiki/Lean_manufacturing) in order to increase productivity. Some of these changes were welcomed by the UAW and others they fought against as automation of lines and shifting of personnel to other roles took place. As Toyota begin to establish its manufacturing presence in the US with other non-union plants they took what worked in Nummi and implemented those standards into these new plants minus having to deal with the UAW and its union members.

Bottom Line: The truck assembly line took up a very small portion of a facility which was nearly 50 years old, highly inefficient and running at less than 50% capacity.

The truck assembly line was half of Toyota's commitment to Nummi. The other half of Toyota's commitment was the Toyota Corolla line. The Toyota Corolla manufacturing was moved to Canada as the Toyota Matrix is the source model for which the Toyota Corolla is based off and it makes fiscal sense to move operations to this plant. The Tacoma line was relocated to a new plant in Texas minus the UAW baggage and CA taxes/regulations.

Blaming the people who worked at the plant, as the yahoos at P&N tend to do, is simply Fail.

Pointing out that Toyota had no great desire to deal with union workers is not blaming, it is just stating a fact. Toyota made Nummi a success and not the UAW. Toyota worked with the union to address concerns but Toyota never had a great love for the UAW or a great desire to continue their partnership past the point where they had no commitment to do so in the end. Coupled with the high tax and regulation scenarios faced in CA it made only sense for Toyota to move out of California. This is especially true as Toyota instituted and managed to achieve the same levels of successes they enacted early on in the Nummi ( in regards to production and efficiency) in other non-union plants as they further established themselves across North America. Prior to Toyota's involvement the GM plant in Fremont was a prime example of a failed auto plant.

 

[Pneumothorax]

Look at what they are getting for that investment.

A $1 billion VW plant.
8000 new jobs
$600 million a year in payroll from the plant and its suppliers.

Seems like a good long term investment.

This....

Much better percentage return than that $787b cluster!@#$ of a state bailout package passed last year...

 

[Slew Foot]

This....

Much better percentage return than that $787b cluster!@#$ of a state bailout package passed last year...

When your bailout package consists of bankers bonuses and 2 years of unemployment checks, what did you expect would happen?

 

[Budmantom]

When your bailout package consists of bankers bonuses and 2 years of unemployment checks, what did you expect would happen?

You must not understand the complexities of buying votes, pay-back and bringing America to it's knees.