The Coronavirus Pandemic has taken a toll on many parts of the economy and fleet sales are feeling the hit. Corporations, rental car companies and even government agencies have not had the same demand for vehicles, and it is threatening jobs.
Last year, Eastern Ohio was affected by a major loss when General Motors made the decision to close their Lordstown facility, a major part of this small town. Since then, a banker by the name of Steve Burns, now CEO for Lordstown Motors, is starting from the ground up with hopes to revive the facility once again.
Yesterday, General Motors Company agreed to a sale of its Lordstown Ohio assembly plant to Lordstown Motors Corporation, an electric vehicle startup firm. This is the first time the plant will be owned by another company other than GM since the facility opened in 1966. There has been speculation about what would happen to the plant when the Union Auto Workers union went on strike in September. The UAW and GM agreed to close the plant in October of this year.
Shortly after closing the doors in Lordstown, OH, GM is in discussions to sell the facility to an Electric Truck company named Workhorse. GM made the decision in November to close down four U.S. based production plants, one of which was located in Lordstown, OH and home of the Chevrolet Cruze Sedan. According to Tom Colton, head of investor relations for Workhorse, the talks are still in the preliminary stages. There is no time table for speculation of the potential returning jobs to the area. The United Autoworkers Union (UAW) has a different agenda in mind. The UAW is trying to push for a reemergence of a petrol powered vehicle plant in the old GM facility, speculated to harbor more employees than Workhorse.