The automaker previously implemented mandatory overtime at Flint Assembly in December in an effort to replenish its Silverado and Sierra inventories following the UAW strike, but sustained high demand has made it difficult to re-establish a stockpile of the trucks.
“As we mentioned prior to entering into emergency status at the end of last year, we are facing an extraordinary challenge – customer demand for our HD truck continues to increase but dealer stocks have not stabilized,” GM said in a memo sent to Flint Assembly workers last week. “Due to the continued competitive pressure in the heavy-duty market from Ford and FCA, we are announcing additional, mandatory shifts for the coming week.”
“In an effort to better balance the needs of the business and the needs of team members, we are scheduling the needs of the business, we are scheduling mandatory shifts each Sunday for the next several weeks,” the memo also said.
GM spokesman Dan Flores said previously that having low supply can hurt sales in the segment, as buyers who can’t find a truck with their desired equipment may be inclined to shop elsewhere instead of waiting. Some are also unable to wait for a new vehicle and will be forced to head to the Ford or Ram dealer if they can’t find a GM truck to suit their needs on a nearby lot.
“This is a very competitive segment and we certainly don’t want customers going to another brand just because we are short on inventory,” Flores said in December. “It’s in our best interest as a GM team to meet the demand while it’s there.”
GM ended many of its passenger car programs to invest more into its full-size truck and SUV lineups following its 2018 corporate restructuring. That means the company is relying more on its pickup programs to generate profits, so it will be eager to ensure it has plenty of Silverado HD and Sierra HD models on hand, as the trucks are two of its biggest cash cows.
Source: The Detroit Bureau