GM Lifts Pay Cuts for White-collar Workers

Summary: General Motors on Friday removed the salary cap and pay cuts earlier imposed on all its workers to keep them from leaving the company. GM, which earlier asked for Chapter 11 bankruptcy protection, also announce that it will offer buyers money-back guarantee on all its vehicles if they are not satisfied with its performance.

General Motors Co (GM) on Friday announced that it will lift the pay cuts on its white-collar workers in a bid to make a welcoming progress for all of its workers. GM, which had been through the most difficult times in its history, is now trying to climb back to profits.

It will be recalled the GM earlier filed for bankruptcy protection from the government following massive losses in all of its sales and stocks. Also, employees of the company started to leave GM for other ventures due to non-competitive salary offers.

But in a bid to make the workers happy, GM Spokesperson Tom Wilkinson said that the company has decided to lift the pay-cut and restore the business operation of the carmaker.
However, Wilkinson said that he had no official date on how many employees that were affected by the previous cuts are left in the company,

The increase in workers’ pay is part of GM’s campaign to lure back buyers and investors as it climbs back on the sales chart.

Based on records, GM’s pay cuts ranged from three percent for the majority of the lower-level employees while a ten percent cut was imposed on its executives. The pay cuts affected almost all operations all over the world.

GM announced that it will also launch a new advertising campaign, which is aimed to offer consumers a money-back guarantee on their vehicles if they are not satisfied with it.