Photo by Bill Pugliano/Getty Images

General Motors said Monday that it will cut 15% of its salaried workforce, estimated to be around 14,700 people in North America, and that it will idle factories in Michigan, Ohio, Maryland and Canada.

The bottom line: GM said when it emerged from bankruptcy that it must be profitable in both good times and bad, and today's moves suggest that it is preparing for an economic downturn.

GM says it will "unallocate" multiple North American plants in 2019, which basically means those facilities will not be asked to make product. It's the first procedural step toward outright closure, which cannot happen before a negotiated labor union agreement. The affected plants are:

  • Oshawa Assembly in Oshawa, Ontario, Canada
  • Detroit-Hamtramck Assembly in Detroit
  • Lordstown Assembly in Warren, Ohio
  • Baltimore Operations in White Marsh, Maryland
  • Warren Transmission Operations in Warren, Michigan

The automaker also said it will close two other manufacturing facilities outside North America, in addition to a previously announced shuttering of an assembly plant in Gunsan, South Korea.

It anticipates the restructuring will cost between $3 billion and $3.8 billion, with the layoffs including 25% of GM's executive staff.

  • Future development will focus on electric-powered crossovers, trucks and SUVs, with sedans and gas-powered cars being de-emphasized.
  • GM stock was halted on the announcement, but then rose over 5% once trading resumed.

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NYT: White House drug price negotiations broke down over $100 "Trump Cards"

President Trump with Mark Meadows, his chief of staff, on Sept. 3 at Andrews Air Force Base in Maryland. Photo: Mandel Ngan/AFP via Getty Images

Negotiations on a deal between the White House and pharmaceutical industry to lower drug prices broke down last month after Mark Meadows, the president's chief of staff, insisted that drugmakers pay for $100 cash cards to be mailed to seniors before the election, according to the New York Times.

Why it matters: Some of the drug companies feared that in agreeing to the prescription cards — reportedly dubbed "Trump Cards" by some in the pharmaceutical industry — they would boost Trump's political standing weeks ahead of Election Day with voters over 65, a group that is crucial to the president's reelection bid, per the Times.

In photos: Virginians line up for hours on first day of early voting

Photo: Andrew Caballero-Reynolds/AFP via Getty Images

In some parts of Virginia, people waited in line up to four hours to cast their ballots on the first day of early voting, according to the Washington Post.

The big picture: The COVID-19 pandemic seems to already have an impact on how people cast their votes this election season. As many as 80 million Americans are expected to vote early, by mail or in person, Tom Bonier, CEO of TargetSmart, a Democratic political data firm, told Axios in August.

Updated 3 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 4:30 p.m. ET: 30,306,469 — Total deaths: 948,147— Total recoveries: 20,626,515Map.
  2. U.S.: Total confirmed cases as of 4:30 p.m. ET: 6,705,114 — Total deaths: 198,197 — Total recoveries: 2,540,334 — Total tests: 92,163,649Map.
  3. Politics: In reversal, CDC again recommends coronavirus testing for asymptomatic people.
  4. Health: Massive USPS face mask operation called off The risks of moving too fast on a vaccine.
  5. Business: Unemployment drop-off reverses course 1 million mortgage-holders fall through safety netHow the pandemic has deepened Boeing's 737 MAX crunch.
  6. Education: At least 42% of school employees are vulnerable.