General Motors said on Thursday that 7,500 hourly employees, about 12 percent of the automaker's US hourly work force of 62,400, have accepted buyout offers and most of them will leave the company no later than April 1, 2009.

GM indicated it will fill job openings with current employees whenever possible. In facilities where new employees are needed, GM will hire individuals at the entry-level wage and benefit structure. The extent of the new hiring at each facility will be determined on a plant-by-plant basis.

Those buyout employees represented by United Auto Workers (UAW) will be offered US$20,000 cash and a vehicle voucher of US$25,000 as part of the deal.

Gary Cowger, Group Vice President Global Manufacturing and Labor Relations of GM, noted it is another example of GM's commitment to execute its Viability Plan.

"There is still much to do, but the Special Attrition Program, along with the many difficult but necessary actions we have taken in recent months will help ensure the long-term viability and future success of General Motors," said Cowger.

It has been the third round for GM to offer early retirements to its employees in recent three years. In 2006, approximately 34,000 hourly employees left the company through a Special Attrition Program and another 19,000 hourly employees did the same in 2008. The latest one brings GM's total hourly reduction to 60,500.

Sparked by the bullish news, GM's stock rallied 42 cents, or 14 percent, to US$3.41 on Thursday.

GM, which is struggling with bankruptcy, now is operating on US$13.4 billion of federal loans and in a Viability Plan submitted to Treasury Department on February 17, it required another US$16.6 billion of federal loans. The automaker also promised to shut down more plants and lay off 47,000 employees globally. The Obama administration is supposed to make the decision about additional federal loans GM asked for by March 31.

(Xinhua News Agency March 27, 2009)