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ReutersGeneral Motors (GM) lays off more than 200 salaried employees General Motors (GM) recently laid off more than 200 salaried employees, primarily Computer-Aided Design (CAD) engineers, at its global tech campus in Warren, Michigan. This move, which occurred on October 24, 2025, was part of a broader organizational restructuring aimed at strengthening GM’s core architectural design engineering capabilities and streamlining operations for long-term profitability.The affected employees were informed of their job eliminations via Microsoft Teams calls early Friday morning. GM emphasized that these layoffs were due to "business conditions" rather than individual performance or conduct issues, according to The Times of India.According to a company statement, the restructuring focuses on removing redundant CAD execution roles to bolster core design strengths. GM publicly recognized the contributions of those impacted and thanked them for their service.The layoffs represent about 0.4% of GM’s US salaried workforce, which stood at roughly 50,000 employees by the end of 2024, down from 53,000 in 2023. This reduction continues GM’s trend of white-collar workforce optimization, targeting duplicate roles and seeking more efficient working arrangements within its design engineering division.Live EventsThe timing of the layoffs drew attention as they came just three days after GM’s release of a strong third-quarter earnings report that sent the company’s stock surging 15%, marking the biggest gain since 2020.GM has seen its stock rise more than 29% in 2025, hitting new 52-week highs. The company raised its profit guidance for 2025, citing reduced tariff pressures and lower losses from electric vehicle (EV) operations. Nonetheless, GM has faced significant financial challenges in the past year, including a $1.1 billion impact from tariff-related profit cuts and $1.6 billion in charges due to scaling back EV plans.This restructuring aligns with GM’s ongoing efforts to optimize its business model amid shifting industry dynamics, such as fluctuating EV demand and policy changes. The layoffs at GM reflect a broader automotive industry trend of job cuts; electric vehicle maker Rivian, for example, announced it would cut approximately 600 jobs (4.5% of its workforce) due to the expiration of the $7,500 federal EV tax credit.In summary, GM’s recent layoffs, though seemingly counterintuitive given its strong financial performance, are part of a strategic focus on sharpening design capabilities and eliminating redundancies to maintain competitiveness and profitability in a challenging automotive landscape.Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel) Read More News onGeneral Motors layoffsGeneral Motorsmicrosoft teamsEV demandRivian (Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless (You can now subscribe to our Economic Times WhatsApp channel)Read More News onGeneral Motors layoffsGeneral Motorsmicrosoft teamsEV demandRivian(Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless Explore More Stories123
