General Motors Pays Workers Early in Anticipation of Bankruptcy

In an effort to reassure its workers that their pay will not be affected by the anticipated bankruptcy filing, General Motors paid approximately 90,000 U.S. employees three days early this week.

Normally GM employees are paid on Friday, however, this week checks were issued on Tuesday, said spokesman Tom Wilkinson. “It was done to reassure employees worried about bankruptcy,” he said.

GM does not expect any bankruptcy filing to affect its payroll payments. The company would just like to reassure its workers that they will continue receiving paychecks even if the company files.

Company representatives also said that GM paid its approximately 1500 parts suppliers early. Payments were made today instead of the scheduled date of June 2, the day after the governments’ restructuring deadline and likely the day GM will be forced to file for bankruptcy.

Source: Automotive News