Less than a week after General Motors reported that they were turning a profit for the fifth quarter in a row, the company announced that it will invest $2 billion in plants and facilities across eight states, creating or preserving over 4,000 jobs. According to the Detroit News, 1,350 G.M. employees who were laid off during the company's crisis period will be re-hired to fill these positions.
What's good for GM is also good for the broader U.S. economy. The Ann Arbor-based Center for Automotive Research said the investment could create or preserve 24,000 jobs beyond GM's payrolls, contributing almost $2.9 billion to the U.S. economy.
The chief economist of CAR added:
"There is no greater evidence of the positive effect of the historic federal intervention than large new investments in major U.S. automotive facilities on the part of the rescued firms such as General Motors."