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Official: Jackson may feel effects of ‘dramatic’ Chrysler, GM cuts
by Danielle Quisenberry | Jackson Citizen Patriot
Wednesday February 18, 2009, 8:32 AM
Bill Rayl, executive director of the Jackson Area Manufacturers Association, called Chrysler and GM’s cuts “dramatic” but said any downsizing is better than bankruptcy.
“If they go under, we have a lot of additional problems,” Rayl said. “Having a leaner GM is better than a dead GM.”
As long as the Detroit automakers continue to pay their bills in a timely fashion, there will not be a collapse in the supply chain, Rayl said.
He said he does not know whether the planned closing of plants and reductions in the number of produced models and brands will directly affect jobs in Jackson. “It is possible,” he said.
In recent weeks, two local automotive suppliers, Michigan Automotive Compressor Inc. and TAC Inc., have cut back or offered their workers buyouts as a result of the struggling vehicle industry.
Tuesday’s news was not entirely unexpected, Rayl said. “Locally, we have already buckled down for a lot of this.”