Auto industry to cut 3 million jobs in U.S.
America’s ailing auto fears 3 million job cut by next year. If three big car makers - General Motors, Ford and Chrysler - are allowed to collapse, there’ll be great loss to the jobs.
According to the experts, so many US businesses depended on the Big Three for survival that allowing even one of the carmakers to fail would lead to tens of thousands of jobs losses nationwide.
David Cole, head of the Centre for Automotive Research (CAR), an influential Detroit think-tank, said that the immediate shock to the economy would be felt well beyond the Detroit companies, negatively impacting the US operations of international manufacturers and suppliers as well.
A bill to rescue GM, Chrysler and Ford with $25bn in emergency loans will be taken up in the Senate tomorrow.
Another expert, Patrick Anderson, chief executive of the Anderson Economic Group, a US consultancy, said failure of one carmaker would lead to between 60,000 and 80,0000 job losses nationwide.