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HomeNewsGM to Lay Off Over 1,000 Employees in Software and Services Division

GM to Lay Off Over 1,000 Employees in Software and Services Division

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  • General Motors (GM) plans to lay off more than 1,000 employees in its software and services division as part of a reorganization aimed at streamlining operations.
  • The layoffs will impact approximately 600 jobs at GM’s tech campus near Detroit, following recent leadership changes, including the departure of former Apple executive Mike Abbott.
  • GM’s spokesperson stated that the company is making bold decisions to prioritize investments that will have the greatest impact on its performance, leading to a reduction in certain teams.
  • The layoffs represent about 1.3% of GM’s global workforce of 76,000 employees, with 53,000 of those in the United States.
  • The move comes as automakers seek to cut costs amid concerns about a potential industry downturn, while investing billions in the transition to electric vehicles and software-defined vehicles.

Detroit, August 20 (FFN)General Motors (GM) is set to lay off more than 1,000 employees in its software and services division as part of a broader effort to streamline operations within the company, according to a report by CNBC. This reorganization follows recent changes in leadership, including the exit of former Apple executive Mike Abbott due to health reasons.

The layoffs will primarily affect 600 positions at GM’s tech campus in Warren, Michigan, near Detroit. The affected employees were informed on Monday morning. The job cuts are part of GM’s strategy to accelerate and simplify operations as the company prepares for the future.

A GM spokesperson explained in an email statement that the company is making bold decisions to prioritize investments that will have the most significant impact on performance, resulting in the reduction of certain teams. The exact number of job cuts across the company has not been disclosed, but sources familiar with the situation confirmed that more than 1,000 employees will be affected.

These layoffs account for approximately 1.3% of GM’s global workforce, which totaled 76,000 employees at the end of last year, with 53,000 of those employees based in the United States.

The reduction in workforce comes at a time when automakers, including GM, are striving to reduce costs amid concerns of a potential downturn in the industry. This is happening as they invest billions of dollars in the shift to fully electric vehicles and software-defined vehicles.


Overview of GM’s Layoffs

MetricDetails
Total LayoffsOver 1,000 employees
Impact on Warren, Michigan600 employees
Percentage of Global Workforce Affected1.3%
Total Global Workforce (2022)76,000 employees
U.S. Workforce53,000 employees
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