Local Dealerships Feel The Effects of the Auto Industry Crisis

While decreased demand is causing GM plants to make cuts, it's also taking its toll on local dealerships.

As Lansing's Mayor and other local leaders met in Washington on Tuesday to lobby support for an automaker bailout, local dealerships tell ABC 3 they're hoping the Mayor's message gets through to those in Washington.

Dorian Gordan, the general manager at the GM dealership in Mason, says it's clear that the auto industry needs help now more than ever.

"The house is on fire right now and we need more than buckets," Gordan says. "Need the hook and ladder from probably 3 or 4 other districts to come and throw some water on this thing and I think a loan package is a way to do that."

Gordan says that while they're still moving their inventory, they're only selling about 40-50 vehicles a month compared with the 60-70 they used to sell each month in better times. Gordan says the overall drop in sales has forced the dealership to make cuts of its own.

"We've cut our sales staff by 20%, the office staff by the same amount, but we made additions in service because we've found that people that aren't buying cars are spending more money to keep the cars they do have."

Gordan says he wants people to understand the proposed bridge loan is just that, a loan and not a bailout. He says he is confident help will come through, but says even if it doesnt, the auto industry will prevail.

"I think the auto industry will survive, it probably will be different, but heck, its different than it was 20 years ago when I got into it," Gordan says.

The general manager tells us while sales were actually up last month they are lagging this month making projections volatile.