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EMPLOYEE SUGGESTIONS SAVED GM MORE THAN $488 MILLION IN 1991

 EMPLOYEE SUGGESTIONS SAVED GM MORE THAN $488 MILLION IN 1991
 DETROIT, March 6 /PRNewswire/ -- General Motors' employee-suggestion plan, which marks its 50th anniversary Saturday, March 7, will play a significant role this year in helping the company intensify its efforts to become more competitive, GM President Lloyd E. Reuss said.
 Despite depressed production and sales levels in 1991, employee suggestions at GM operating units resulted in net first-year savings of more than $488 million. In return, employees who submitted more than 211,000 suggestions last year were paid a total of $72 million in suggestion-plan awards during 1991.
 The GM suggestion plan is part of the company's effort to implement key business strategies designed to ensure that the company becomes a more productive, more efficient organization.
 "We can accomplish these business goals only through people working together," Reuss said. The GM suggestion plan helps focus employees' attention on needed improvements, and he said, "the faster we can achieve the savings from those suggestions, the faster it will help us return to profitability in our North American Operations."
 Although not reflected in the savings data, there were thousands of other suggestions that produced additional benefits, such as improved plant safety and product quality.
 "Each suggestion represents an expression that the individual cares about the organization and wants to help make a stronger General Motors for the future," Reuss said.
 When asked why they submitted suggestions, nine out of 10 employees, in response to a survey, said the main reasons are to generate cost savings for their organization and help make it more competitive.
 Since former GM President Charles E. Wilson announced the creation of the employee-suggestion plan March 7, 1942, the company has realized nearly $6 billion in net first-year savings, and has paid out more than $925 million to employees. The GM suggestion plan is among the longest continuously operating programs of its kind in the world.
 The suggestion plan was created just months after the United States entered World War II and General Motors began rapidly converting its facilities into production of war materials. The suggestion plan was viewed as an important way to give workers a voice in reducing waste, avoiding errors, and improving productivity.
 Following the war and the return to automotive production, management decided to continue the suggestion plan as a permanent program. Since 1942, the maximum individual suggestion award for a single idea has grown from $1,000 to the current level of $20,000.
 -0- 3/6/92
 /CONTACT: Mark A. Tanner of General Motors, 313-556-2032/
 (GM) CO: General Motors Corporation ST: Michigan IN: AUT SU:


DH -- DE001 -- 5729 03/06/92 08:20 EST
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Date:Mar 6, 1992
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