General Motors To Cut 15 Percent Of Salaried Workers

July 30, 2008 4:17 p.m. EST

Detroit, MI (AHN) - General Motors will cut 15 percent of its salaried workers, or roughly 5,100 jobs, by November 1. The cuts will impact both U.S. and Canadian workers.

The move is one of several cost cutting measures the company has taken in order to reduce expenses by billions as it battles sluggish auto sales. The company had announced a couple weeks ago it was looking to shed more than 20 percent of its office and administrative costs.

General Motors plans to cut costs by a total of $15 billion by selling assets, reducing workforce and suspending its dividend.

The announcement comes just two days before the automaker's second quarter earnings results, due out Friday morning. Analyst estimates are for loss of $2.63 a share, according to Thomson Financial.

Shares of General Motors finished 4.2 percent lower Wednesday to $11.40.