General Motors CEO Mary Barra begins DC charm offensive in wake of job cuts announcement

By Rod Meloni - Reporter, CFP ®, Kayla Clarke

WASHINGTON - Ten years after taking bailout loans from Congress, General Motors is looking to make business cuts that rival the amount borrowed back then.

Congress is not amused, and GM CEO Mary Barra is expected to spend the next couple of days looking to mend fences.

Barra went to Ohio Sen. Rob Portman's office Wednesday, where she met with Portman and Ohio Sen. Sherrod Brown. They want her not to shutter the Lourdstown plant. Brown was particularly angry, saying Ohio has stood by GM, and now it's time for GM to stand by Ohio.

GM is using the word "unallocated", instead of saying it's closing five plants. That is auto industry speak for "There's no product for the plant at the end of next year." Barra went to Washington to explain what that means.

Autotrader analyst Michelle Krebs said the world has changed dramatically since the bankruptcy and to have a healthy company, Barra needs to make tough decisions.

Barra released the following statement:

“I had very constructive meetings with members of Congress from Ohio and Maryland. I share their concerns about the impact the actions we announced last week will have on our employees, their families and the communities. These were very difficult decisions -- decisions I take very personally. I informed the members that many hourly employees at the impacted U.S. plants will have the opportunity to work at other U.S. GM plants and that we are committed to working with them to minimize the impact on the communities. I also informed them that all salaried GM workers impacted by these actions are being offered outplacement services to help them transition to new jobs.”

According to the statement, Barra will meet with the Michigan delegation Thursday.

Watch the video above for Rod Meloni's full story.

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