In a restructuring attempt to save GM, President Obama has asked GM CEO and Chairman Rick Wagoner to step down, ending his 31 year career with the company. White House revealed that Wagoner will step down immediately.

The officials asked not to be identified because details of the restructuring plan have not yet been made public. On Monday, Obama is to announce measures to restructure GM and Chrysler LLC in exchange for additional government loans. The companies have been living on $17.4 billion in government aid and have requested $21.6 billion more. [Link]

This seems to be a new step to the government's aid to the struggling automakers where management change seems to be part of the deal. Though officials from Chrysler announced that they do not know about any management change request yet.

Some people who liked Wagoner especially at GM seem to be upset with his departure.

Next CEO at GM?

Fritz Henderson who was recently promoted to President and COO might be the next choice. But it is still not clear if White House is seeking more changes.

I think it is a good step to start taking responsibility but not sure if these steps would still keep GM and Chrsyler from bankcruptcy.