Another major vehicle manufacturer will be closing up shop. The business and commercial world was sent reeling recently as General Motors announced that it would be closing its Oshawa, Ontario plant, leaving 2,800 workers unemployed. The plant is the largest employer in the city, which used to employ 23,000 people in the 1980s.
Over the years, Oshawa has diversified its business, commercial and industrial base. There are some pretty hard-hitting employers in the community now, including those in the education and government sectors. However, the community will profoundly feel the impact of the GM closure. Homeowners are worried about dropping market values on their homes, and some residents and GM employees worry that local businesses like restaurants and bars will have a hard time staying solvent without the patronage of many GM workers.
GM's Canadian headquarters are actually located in Oshawa. The company is also invested with the University of Ontario Institute of Technology via several partnerships. GM says its operations in St. Catharines will be kept open, at least for now.
The business and commercial world is definitely affected by large plant closures. Business owners may wish to re-evaluate their business plans in view of such announcements. An Ontario lawyer experienced in business law would be able to provide advice regarding the legalities that go along with drafting these plans. Whether it's advice on drafting a business plan, mergers and acquisitions, contract disputes or compliance and risk management, a lawyer can clear up any confusion regarding the legal aspects of the business world.