GM lays off more than 200 salaried workers in latest round of job cuts
Headquarters of US automotive company General Motos (GM) in Detroit, Michigan.
Uli Deck | Picture Alliance | Getty Images
DETROIT – General Engines The automaker laid off more than 200 salaried employees on Friday as it continues to reevaluate its business and cut costs to boost profits.
According to GM, the affected employees were largely Computer Aided Design, or CAD, engineers working at the company’s global technology campus in metro Detroit.
“We are restructuring our design engineering team to strengthen our core architectural design engineering capabilities,” GM said in an emailed statement. “As a result, some CAD execution roles have been eliminated. We appreciate the efforts and accomplishments of the affected team members and thank them for their contributions.”
GM declined to comment on the number of employees affected, but a source familiar with the matter confirmed to CNBC that there are more than 200 employees. Bloomberg News. The person spoke anonymously because the number has not yet been made public.
Employees were told their roles were eliminated not because of their performance but because of “business conditions”. Microsoft Teams will call on Friday, the source said.
The Detroit automaker has been regularly reviewing its business units and organizations for years to reduce costs, increase profits and eliminate unnecessary or overstaffed roles for future operations.
The latest layoffs represent a small percentage of the automaker’s salaried workforce, but continue a trend of declining white-collar headcount in the United States. GM’s payroll in the United States fell from 53,000 in 2023 to 50,000 by the end of last year.
GM’s layoffs come a day after the all-electric vehicle maker rivya The EV market has laid off nearly 4.5% of its workforce, or more than 600 people, to restructure some teams as it faces growing challenges from policy changes and slower-than-expected demand.
The latest cuts come as President Donald Trump touts them social media it’s friday Ford Motor and GM is “BIG on Tariffs” due to tariff changes last week for heavy- and medium-duty trucks, which it calls “Large and Medium Trucks.”
While both Ford and GM, including CEO Mary Barra, touted tariff changes this week that included extensions of offsets for vehicles produced in the U.S., automakers still continue to see additional cost burdens from the taxes. These changes only help reduce these additional costs.
The layoffs come just days after GM raised its fiscal 2025 forecast on Tuesday; because it beat Wall Street’s top and bottom earnings expectations for the third quarter, giving the stock its second-best day on the market since the 2009 crash.
GM shares are up more than 29% this year, while Ford’s shares are up nearly 38%. Both hit new 52-week highs on Friday.
