Through a statement, General Motors announced that the assembly factory in Colombia will have a total closure, this in order to “ensure that the company is better positioned to offer its most advanced vehicles and technologies to customers.”
“Manufacturing operations will cease at the Colmotores de Colombia plant and the disassembly process begins today with a reduced team,” the statement said.
The total closure is not only in Colombia, but The operations and manufacturing plant in Ecuador will also close, this is how the statement explains it. “At the OBB plant in Ecuador, manufacturing will cease at the end of August 2024.”
This decision was made with the objective of a new “transformation in the operations of national vehicle marketing and after-sales service companies to respond to the challenges of the growing fragmentation of markets, as well as the underutilization of the Colmotores and GM OBB plants. . The Colmotores plant is operating at 9% of its installed capacity and GM OBB is operating at 13%.”
What will happen to the employees?
By announcing the total closure of its assembly factory in Colombia, General Motors expresses its decision to support its workforce. “The company understands the impact this decision will have on affected employees and we will support them during their transition.”
Upon hearing the news, the Ministry of Labor assured that “will guarantee the protection of the labor rights of the workers of the vehicle assembler, General Motors in Colombia and will also have rigorous monitoring so that due process is complied with.”
“For the Ministry of Labor and as the National Government we are committed to the defense of labor rights, for this reason I have given the instruction to the Directorate of Inspection, Surveillance and Control, to carry out a series of visits to the plant to inspect working conditions. and verify that the standards required by law are met,” explained the Minister of Labor, Gloria Inés Ramírez Ríos.
Likewise, the Ministry of Labor will convene a social dialogue table “with the parties to review the underlying situation and study the best solutions for the workers.”
The president and general director of GM South America, Santiago Chamorro, referred to the plan they have with employees, “The Company understands the impact that this decision has on employees, which is why it developed a plan to close employment contracts with benefits that are above legal requirementsas well as a broad and solid job relocation program.”
Transformation at General Motors in Colombia
In the midst of the announcement of the closure of the General Motors factory, the company emphasizes the transformation of the operations it will have in Colombia and how it will maintain its presence in our country.
“General Motors will maintain its historic presence in Colombia and Ecuador through its Chevrolet brand and its strong network of companies and businesses such as GMICA-Isuzu, GM Financial and Chevyplan, as well as its commercial partners, its extensive dealer network and OnStar connectivity services,” the announcement explains.
The president of GM International, Shilpan Amin also referred to the fact that these types of announcements are important for the company and its customers. “The actions we announce today are fundamental to ensuring that we are best positioned to offer our customers the vehicles and the most advanced technologies, and promote the transformation of the industry in Colombia and Ecuador towards a future without emissions.”
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