On Friday, General Motors announced about 1,000 layoffs, most of which will impact the company’s global technical center site in Warren, Michigan, and include both salaried and hourly workers.
The Detroit-based carmaker claimed that no one region was singled out and that the action was a part of a reorganization.
“In order to win in this competitive market, we need to optimize for speed and excellence,” GM spokesperson Kevin Kelly stated.
“This includes operating with efficiency, ensuring we have the right team structure, and focusing on our top priorities as a business. As part of this continuous effort, we’ve made a small number of team reductions. We are grateful to those who helped establish a strong foundation that positions GM to lead in the industry moving forward.”
The stock of the corporation fell on Friday.
At 10:36 a.m. EST, General Motors’ stock was down $0.47, or 0.82%, at $57.15. This year, the business wants to cut costs by $2 billion.
General Motors stated in June that it had to reduce EV production due to a lack of consumer support. The business lowered its goal for EV sales in 2024 by about 100,000 vehicles.
The layoffs on Friday marked GM’s second significant layoff round in three months.
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The business said in August that it would be laying off over 1,000 salaried employees worldwide in its global and software segment.
