General Motors Co. Chairman Ed Whitacre, who added the job of CEO last Tuesday, revamped the company’s management structure on Friday, effective immediately.

Analysts say Whitacre’s alacrity reflects his desire to break GM’s tradition of sluggish decision making. He elevated some women and younger managers who got their second promotion in five months. But Whitacre didn’t change the overall executive mix by hiring or firing.

He reversed several key moves predecessor Fritz Henderson made when GM emerged from bankruptcy in July. Whitacre reinstated a structure of regional executives, explaining he wants to give people responsibility “deeper in the organization” and then hold them accountable.

Mark Reuss, 46, global vehicle engineering chief since October, becomes president of GM North America, a title Henderson eliminated when he assumed those chores himself. Tim Lee exchanges his job heading global manufacturing and labor relations for the post of international operations chief overseeing the Asia-Pacific region, Latin America, Africa and the Middle East. Before July, Lee ran North American manufacturing.

Nick Reilly, who oversaw all of GM’s overseas operations and became Opel’s acting CEO last month, becomes president of GM Europe and permanent Opel CEO. He says GM Europe, which oversees Opel/Vauxhall and Chevrolet Europe, will have no organization of its own.

Whitacre also reunited U.S. sales and marketing functions-which Henderson had just divided-under Susan Docherty, 47, the former general manager of Buick-GMC who has overseen sales since October. She reports to Reuss.

Vice Chairman Bob Lutz, who was GM’s global product development czar until July when he took on marketing and communications, has ceded marketing to Docherty. Communications chief Chris Preuss will report directly to Whitacre. Lutz will now serve as an advisor to auto neophyte Whitacre on design and product development.

Diana Tremblay, who won crucial concessions from GM’s unions this spring as North American labor relations chief, was named the region’s manufacturing and labor relations head. Denise Johnson, 43, chief engineer for global small cars, assumes Tremblay’s duties. Karl-Friedrich Stracke takes on Reuss’ former global engineering post.

Purchasing boss Bob Socia, who had reported to the CEO, will now report to Tom Stephens, head of global product development. Analysts say the move could help GM more closely coordinate the work of engineers and suppliers.

Ford Motor Co. expects to lower production in Europe next year by an unspecified amount in anticipation of a weaker auto market after government scrappage programs expire, says The Wall Street Journal.

The newspaper quotes John Fleming, chairman of Ford of Europe, who expects European industry volume to drop to 13 million-14.5 million vehicles in 2010 from about 15.7 million units this year.

An unidentified source tells the Journal that Ford could cut 2010 European production by more than 10% from 2009. The reduction contrasts with its plan to boost North American production by 58% in the first quarter of 2010.

Nick Reilly, CEO of General Motors Co.’s Opel unit, plans to announce his new management team this week as he finishes up a restructuring plan for the business.

Last week GM made Reilly’s month-old interim status as CEO permanent and called off a search for a new CEO.

Reilly confirms that Opel expects to eliminate about 8,300 jobs and says the unit has dropped a plan to cut 550 engineering jobs in Germany. After meeting with Reilly late last week, Opel’s fiery labor leader Klaus Franz said the company’s unions will cooperate to help the unit save $400 million per year. In exchange for concessions, Reilly says Opel may give workers profit sharing and an equity stake.

Of the €3.3 billion of financing Opel needs, Reilly says about €1 billion would go to restructuring and the balance to develop new vehicles. He says Opel must add a minicar to its lineup and continue to develop light commercial, hybrid and electric vehicles.

General Motors Co. Chairman and CEO Ed Whitacre has appointed director Steve Girsky, a longtime auto analyst turned private equity manager, to advise him on the company’s turnaround, according to news reports.

Whitacre, who admitted when he joined GM as chairman in July that he knew little about the auto business, added CEO duties last week when the board forced out Fritz Henderson. Whitacre also has tapped Vice Chairman Bob Lutz to advise him on auto design and product development.

Girsky was named to GM’s 13-member post-bankruptcy board in July by the United Auto Workers union’s retiree healthcare trust, which owns a 17.5% GM stake.

The former Morgan Stanley analyst tried the advisory role once before when former GM Chairman and CEO Rick Wagoner hired him in 2005. That stint lasted less than a year. Today’s Wall Street Journal, which cites an unidentified source, says that the company’s arrogant and insular management was unwilling to listen to suggestions, even from the outsider they hired.

But Whitacre told the newspaper last month he relied on Girsky’s advice as the board decided not to sell GM’s Opel unit and as it assessed company forecasts and progress.

Mark Reuss, who was appointed president of General Motors Co.’s North American operations on Friday, will present an update on the company’s business at a press conference at 8:30 a.m. tomorrow.

GM says Reuss is taking the place of Chairman and CEO Ed Whitacre, whose schedule changed since the briefing was planned.

Reuss’ promotion is considered the biggest surprise of Whitacre’s management reshuffle late last week. The executive began the year as president of GM’s Australian Holden unit and took charge of global vehicle engineering two months ago. He is the son of Lloyd Reuss, who headed GM North America from 1987 to 1990 before becoming GM president-a job he was pushed out of in 1992.

The U.S. unemployment rate declined to 10% last month from 10.2% in October, according to the Dept. of Labor. Economists say the report could signal a revival in hiring in coming months.

American employers shed 11,000 jobs in November, the smallest number since the recession began in December 2007, bolstered by hiring at temporary help services. Manufacturing and construction jobs continue to decline. The Labor Dept. also revised figures from September and October to show 159,000 fewer lost jobs than previously reported.

The average workweek increased by 12 minutes to 33.2 hours. The average manufacturing workweek increased by 18 minutes to 40.4 hours-up one hour from May. Economists say that could presage hiring, because employers typically increase working hours and hire temporary staff before hiring additional permanent workers.

Despite the optimism, November was still the 23rd consecutive month of job losses, bringing the number of unemployed to 15.4 million people, more than double the number when the recession began.

President Barack Obama has nominated David Strickland, a senior U.S. Senate staffer, to be administrator of the National Highway Traffic Safety Administration.

Strickland has been senior counsel to the Senate Commerce, Science and Transportation Committee’s subcommittee on consumer protection, which oversees NHTSA, for more than eight years. He helped write the 2007 Energy Act, which hiked auto fuel economy standards. The Obama administration also credits him with including several auto safety provisions, including mandatory electronic stability control, in a 2005 transportation bill. Mothers Against Drunk Driving named him Congressional Staffer of the Year in 2004.

The Detroit News reported Strickland’s impending nomination earlier last week. The job requires confirmation by the Senate. Charles Hurley, the White House’s original nominee to head NHTSA, withdrew his name in May after criticism from environmentalists.

Suzuki Motor Corp. says it will sell its 50% stake in its Ingersoll, Ont.-based CAMI Automotive Inc. joint venture to partner General Motors Co., which will become sole owner.

Suzuki did not disclose the price or the timing of the sale, which it says GM initiated.

The 20-year-old venture stopped building the slow-selling Suzuki XL-7 SUV in May. But the factory is running full tilt to build the popular Chevrolet Equinox and GMC Terrain midsize crossover vehicles. GM said last month it would invest US$85 million to expand the plant by 40,000 units annually to 250,000 next year.

The deal ends one of GM’s last remaining joint ventures with Japanese automakers. The company sold its remaining 3% Suzuki stake in November 2008. In the last four years GM has severed equity ties with Isuzu, Subaru maker Fuji Heavy Industries and Toyota. All that remains is a diesel engine venture with Isuzu in Moraine, Ohio.

General Motors Co. has hired Chicago-based headhunting firm Spencer Stuart to lead the company’s search for a new CEO, says today’s Wall Street Journal.

The newspaper, which cites unidentified sources, says GM hopes to attract a current or former CEO with extensive manufacturing and turnaround experience, which could be outside the auto industry.

When Chairman Ed Whitacre took over as interim CEO from Fritz Henderson last week, he said GM would immediately launch an international search for a successor. Whitacre predicted the search could take as long as a year.

General Motors Co. says it will transfer a 1% stake in its China car joint venture to partner SAIC Motor Corp., thus reducing its holding to 49%.

The deal will give SAIC control of Shanghai GM and enable it to consolidate earnings from the business under new Chinese accounting rules that take effect next month. GM says it agreed to transfer the stake to get “full cooperation” from the Chinese government on unspecified “other things.” The company says the stock is worth $85 million but did not say what, if anything, SAIC will pay for it.

GM also confirms it will invest more than $650 million to form a Hong Kong-based 50:50 joint venture with SAIC to produce and sell low-cost vehicles in India. The companies expect to complete the deal in the first quarter of next year.

The India venture will make small cars designed by Shanghai GM and commercial vehicles from SAIC-GM-Wuling Automotive Co. SAIC owns 50.1% of the latter venture. GM holds 34% and Liuzhou Wuling Motors Co. owns the balance. GM says the new venture will use its India distribution network, plus two assembly plants and a powertrain factory there. Output could reach 225,000 vehicles per year by 2012.

Beijing Automotive Industry Holding Corp., which is among the bidders to buy General Motors Co.’s Saab Automobile unit, has purchased the production tools for the previous-generation 9-5 car, says Sweden’s Ny Teknik.

The newspaper, citing unidentified sources, says Saab began dismantling the equipment in October to prepare for the launch of the revamped 9-5 early next year. Other Saab bidders include private equity firm Renco Group Inc. and Dutch carmaker Spyker Cars NV. GM says it will decide by the year-end whether to sell or close the Swedish brand.