Current Event

Summary: Trump calls GM’s CEO in push to reopen Ohio auto plant

For two consecutive days Saturday and Sunday, President Donald trump decided to pressure General Motors to reopen their manufacturing plant in Ohio. He blasted and criticized GM saying that it had let US down while he showered praises to other motor producing companies like Toyota for their investment in the country. In a series of separate tweets, he disclosed that he had vented to GM’s CEO over the issue. He also disclosed that the CEO was putting blame on the Union Automobile Workers for the plants closure. The General Motors CEO, Mary Barra however did not respond to the President’s tweets even after she was asked for a comment. The plant was closed down rendering 1700 people jobless, with four more closures to be expected in the North American plants by early next year. During GM’s 53 year operation at Ohio, more than 16 million vehicles were made at the plant. Ohio’s Governor, Mike De wine does not think the company will open its doors at the plant again. In 2016, it can be remembered that President Donald Trump prevailed greatly in Ohio, making it crucial for him to advocate for its infrastructure if he intends to seek reelection. In response to Donald Trump’s tweets, General Motors offered to say that the issue would be resolved between the company and the UAW union. Trump asserted that better motor companies were seeking entry to the country. It will not be the first time however that Trump will be heard remarking on how US companies were not making significant efforts to boost the country’s economy. Apple has also been on the receiving end of Trump’s rants for operating more in China.

Significance

I chose this particular article because it relates to this week’s reads of both chapter 11: Resource Markets and chapter 12: Labor Markets and Labor Unions. On labor markets and unions, the article brings to light the laid off people while the labor union finds a way to come to a consensus with the employers. On resources, the article speaks on both China and America, with companies like Apple’s Silicon Valley refusing to move base, meaning that they experience more gain in having their production done at China. The article gives an insight to the future of the US economy and suggests with a silent plea that a solution should be found on the underlying issues of company closure.

Personal Opinion

According to the article, there are four more plants to be closed down in America. The closure of one single plant has already laid off about 1700 employees, meaning that more people are on their way to becoming jobless. I think that these events will take a great toll on the country’s economy. The rise in joblessness may also mean a rise to insecurities and illegal businesses with the aim of survival. While it may be understood that China offers availability for raw resources and cheap labor for the Production of Apple products, in bid to build our Country’s economy, it would be better if they researched on ways to reduce production costs in the US to establish plants.

References

The Associated Press (2019), Trump calls GM’s CEO in push to reopen Ohio auto Plant. ABC News Network.