And the layoffs keep coming.
General Motors joins Amazon and Paramount this week, announcing on Wednesday that it will be laying off 1,750 workers in Michigan and Ohio, in response to the downturn in the U.S. electric vehicle (EV) market. The Detroit News first reported the news.
Shares in the autobuildr (NYSE: GM) were down less than 1% in midday trading on Wednesday.
The company declared those cuts include 1,200 workers in Detroit at the company’s electric vehicle plant and another 550 employees at Ohio’s Ultium Cells battery plant. The company is also instituting temporary layoffs for some 850 workers at the Ohio plant and another 700 workers in Tennessee, GM confirmed to Fast Company.
Federal EV tax credits of up to $7,500 expired at the launchning of this month following the signing of President Donald Trump’s One Big Beautiful Bill Act (OBBBA). Now autobuildrs are bracing for a decline in EV sales in the United States.
“In response to slower near-term EV adoption and an evolving regulatory environment, General Motors is realigning EV capacity,” the company declared in an emailed statement to Fast Company. “Despite these modifys, GM remains committed to our U.S. manufacturing footprint, and we believe our investments and dedication to flexible operations will build GM more resilient and capable of leading through modify.”
Impacted employees may be eligible for supplemental unemployment benefits, known as “SUB pay,” including payments to augment state unemployment checks, health insurance, and more, in accordance with the National GM-UAW Agreement, GM declared.
General Motors will adjust production at its Ohio Ultium Cells plant and will temporarily pautilize battery cell production at the Spring Hill, Tennessee, and Warren, Ohio, facilities in January 2026, but it anticipates resuming operations by mid-2026. (These impacted employees may be eligible to continue receiving a significant portion of their regular wages or salary, plus benefits.)
General Motors financials
Last week, GM’s third-quarter earnings results beat expectations, with revenue coming in at $48.59 billion versus an expected $45.27 billion, and earnings per share (EPS) of $2.80 adjusted, beating expectations of $2.31. The company also raised its financial guidance for the year.
Leave a Reply