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Mary Barra, CEO of General Motors, rejected the possibility that Tesla of Elon Musk was one of the soon-to-be-released US Factories could take over from GM.

Barra announced Friday that Tesla would acquire the GM factory in Detroit or the factory in Lordstown, Ohio. Both will soon be closed, unless they are assigned new vehicles for production.

Talks in the past, "said Barra at a presentation for investors and analysts. "But Tesla is not interested in our staff represented by the UAW, so it's really a point of controversy."

The United Auto Workers is a union representing GM's hourly workers in the United States.

Tesla boss Musk has recently expressed his interest in his work company, which may buy one of the GM factories. This is essentially what Tesla did with its factory in Fremont, California, which was previously a joint venture between GM and Toyota.

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But the factory in Fremont is not unionized, even though the UAW is trying to do so. And Musk has repeatedly criticized the union, saying it contributed to the overthrow of GM, arguing that its workers are safe and well paid.

A Tesla spokesperson was not immediately available for comment.

Barra's comment came when it was reported The decision to close the plants in Ohio and Michigan is likely to increase profitability. These steps took place after GM decided to hire several vehicles, including the Chevrolet Cruze, Chevy Impala and Chevy Volt.

The company surprised Wall Street on Friday by increasing its estimated profits for 2019 despite concerns over the global economy and the Chinese vehicle market

GM shares rose 8.9 percent to $ 37.80 early Friday afternoon ,

The factory cuts and thousands of employee takeovers and layoffs will increase GM's annual cost savings by as much as $ 2.5 billion in 2019. [6,559,007] About 6,500 hourly jobs are at risk, though Barra said Friday that GM has 2,700 openings at other plants in Flint, Michigan; Spring Hill, Tennessee; and Arlington, Texas, where affected workers could switch. She said that approximately 1,500 hourly employees were interested in these openings and 700 were placed in jobs and "on the move".

Job cuts were necessary, Barra said.

"Having something proactive when you have a strong job market is important," Barra said. She said GM will continue to "engage in dialogue" with the UAW and the Canadian union Unifor to "take care of our team members" and GM will be transparent in its future business plans.


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GM has continued to crack down on cuts in Canada and the United States. The legislature of Michigan and Ohio has criticized the measures and bankruptcy of the government for GM.

Follow US TODAY reporter Nathan Bomey on Twitter @ NathanBomey .

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