GM to invest $790M in Spring Hill plant, create 800 new jobs – The Tennessean

General Motors announced plans Wednesday to pour $790 million in new investment into its Spring Hill plant, a move expected to create hundreds of jobs at the Middle Tennessee plant.

Spring Hill is now building the Cadillac XT5 and the GMC Acadia. Since 2010, the company has invested more than $2 billion at the site, including $936 million this year alone.

The automaker also announced a $118 million investment in its Bay City, Michigan plant. In Tennessee alone, the cash infusion will create an estimated new 792 jobs. Hiring for those positions will begin toward the end of the year, according to GM manufacturing manager Arvin Jones.

On hand for the announcement, Gov. Bill Haslam heralded the announcement as highlighting GM’s commitment to Tennessee and solidifying the Volunteer State’s status as a major automotive sector hub.

“Tennessee has an incredibly strong business climate, and we continue to attract investment from companies that can choose to do business anywhere in the world. It is important to see long-time partners like GM continue to invest in Tennessee and create high-quality jobs here,” he said.

The influx of money will go toward a new high-efficiency engine program and support production of the XT5 model.

The announcement comes on the heels of last week’s news that production at the Spring Hills plant would be temporarily shut down after a pair of earthquakes in Japan disrupted the automakers supply chain. GM’s facilities at Spring Hill; Oshawa Flex Assembly, Canada; Lordstown, Ohio; and Fairfax, Kan. are be shuttered for the two weeks beginning this past Monday.

“As GM continues to assess the potential impact on its supply chain from the recent earthquakes in Japan, it is taking proactive steps to mitigate a part supply issue and is adjusting production schedules at four of its North American assembly facilities,” GM spokeswoman Courtney Zemke said.

An autoworkers’ union official said those employees affected by the shutdown will receive 74 percent of their gross wages for however long the idling lasts, as long as those employees have worked at the site for at least one year.

There are 2,643 workers — 2,271 hourly and 372 salaried —  at the Spring Hill facility. Zemke said the company is doing what it can to lessen the blow of the disruption to its personnel.

Wednesday’s announcement has no impact on the production stoppage, officials said.

Reach Lizzy Alfs at 615-726-5948 and on Twitter @lizzyalfs.

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