Dec 12, 2008 6:31 pm US/Eastern
Worry Among Md. Plants After Auto Bailout Fails
HAGERSTOWN, Md. (WJZ) ―
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There's not a lot of assembly line work left in Maryland, and now it's shrinking more.
AP
There's not a lot of assembly line work left in Maryland, and now it's shrinking more.
Alex DeMetrick reports for all of the people who build, sale and fix cars, it's beginning to feel like the wheels are falling off.
With demand for heavy trucks down, the Hagerstown Mack-Volvo Powertrain Plant is cutting back.
"Well we just had an announcement late last night, early this morning that we're going to layoff 142 of our production workers here at the Hagerstown facility," said Dave Perkins, president local, 171.
After an auto industry bailout fell apart, there is worry GM's Alyson Transmission Plant in White Marsh could see severe losses.
Even if the White House does an 11th hour rescue, economist Morris Segall believes a lot of jobs are going to go.
"Any kind of a bailout package is going to require restructuring of this industry, which means it's going to have to be downsized. So we're going to lose a a consequential amount of auto workers, workers that are tied to automobile parts suppliers and dealerships," said Segall.
Maryland dealers are still hoping for some kind of government help. Lots are filled with cars dealers bought from manufacturers, and bills are coming due.
"I'm just astonished that the Congress is being this irresponsible at this point," said Peter Kitzmiller, Md. Dealers Association president.
The problem stretches from the major assembly lines in Michigan to the plant in Hagerstown.
During the past year, 12 dealerships have gone out of business here.
The Hagerstown plant will be making its layoffs on January 4, 2009.
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