According to an article in the Star-Telegram, General Motors has emerged from bankruptcy free of massive debt and burdensome contracts that would have sunk the automaker outside of bankruptcy. But many “old” GM employees won’t need to pack their traveling bags because they won’t be joining the new GM.
The article said:
“Henderson said the company would reduce its overall U.S. salaried employment by 20 percent by the end of 2009. He said management ranks will be cut by 35 percent, or 450 executives, including the elimination of its North American president position. Henderson said he will take responsibility for North American operations.”
The job losses at GM has got me thinking. What will happen to all of the unemployed GM workers after the “new” GM has “unburdened” itself with up to 35 percent of its employees? Many of these workers facing job losses don’t have easily transferable skills especially in this difficult job market and like most of us, have probably failed to create adequate savings to weather the storm.
Many of these unemployed GM workers should probably use their former employer as an example and file bankruptcy on their debts including any car loans they may be burdened with. I’m not being facetious. GM made a smart move by filing bankruptcy and many of its former workers should probably follow their example depending on their circumstances.
Bankruptcy has the power to transform a person’s (or company’s) financial life by discharging debts and giving the debtor a fresh start. If huge corporations such as GM can benefit from bankruptcy, so can you.To find out about how bankruptcy can help you discharge debt and protect your assets, contact a Dallas-Fort Worth bankruptcy attorney today.