GM loses a bundle on American Axle

Strikes have huge trickle down effects for all that are involved with the strike, from the front-line workers taking the rest of losing everything on a short to long-term basis, to the companies that lose the production, to the customers that get delays due to the lack of production. Most of these strikes are very ugly, and the fight with American Axle and General Motors was no exception.

After all of the buyouts and the dust being proverbially settled, it has come down to a very large loss overall for GM--to the tune of 2.82 billion dollars--800 million in production for the first quarter alone. This is just a hard number, it will remain to be seen what the longstanding effect is on the customer base who had those delays and if they will come back to the carmaker after all is said and done.

The long-term effect for General Motors should be beneficial, as they took the hit up front with over 140K in buyouts but should really have to pay a lot less for labor in the long run. But with this huge number looming, it will take a lonnnnnnnnnnnnnng time until it is actually profitable.

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GM loses a bundle on American Axle

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