GM dealer says sales solid

Author: Frank Matys

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Frank Matys

Jim Wilson, of Jim Wilson Chevrolet Pontiac Buick GMC says job cuts and dealership closures planned by General Motors are necessary, given the company’s financial troubles.

General Motors is left no choice but to cut jobs and close dealerships as the money-troubled auto giant seeks to slash costs and rebuild the brand, an industry veteran says.
“They have to do something,” said Jim Wilson, of Jim Wilson Chevrolet Pontiac Buick GMC. “The definition of insanity is not changing something and expecting different results. It just has to happen.”
General Motors Canada said it would cut its workforce by more than half within five years and shut as many as 310 dealerships by the end of next year.
“It is unfortunate,” Wilson added. “No one wants to lose jobs, but overall sales have dropped from 17 million (vehicles) to nine million.”
Wilson, who employs about 50 people, said he has heard nothing to indicate the Orillia dealership is among those to be axed.
“Not officially, no,” he said. “I don’t know if they have produced any lists.”
Wilson said he was confident the local business would remain in operation.
“We do a pretty good job for them, there is a substantial investment here,” he added. “We have been good boys.”
Those situated outside the Greater Toronto Area are more likely to be left unscathed, as there are fewer dealerships in these smaller markets, he predicted.
“The metro markets are where the biggest changes are going to occur,” he added.
Wilson two years ago amalgamated his Memorial Avenue Chevrolet dealership with his downtown Pontiac Buick GMC dealership to create a single location west of Highway 11.
“(GM) has to get strong and we have to sell a lot of vehicles,” he said. “If it doesn’t make changes, those job losses are going to occur anyway.”
At the Orillia dealership, March sales were identical to the same period last year, while April “is going to be a tad less than April 08,” Wilson said.
“But April 08 was our best month in 25 years,” he added.
The decision by GM to eliminate the long-running Pontiac brand – which accounts for about a third of sales – will be significant, he added.
“That is big,” he said. I’m not sure I agree with it, but they didn’t call me to find out.”
Wilson anticipates the company will seek further savings by combining or eliminating vehicle lines.
“There are more things they can do that are very obvious,” he added. “Have one truck, one set of parts, one set of marketing people. Then we would have a number one-selling brand. Ford did it years ago. ”
Wilson has been a GM dealer for the past 17 years.