GM Layoffs: Automaker Cites 'Slower' EV Demand, Regulatory Environment
GM Layoffs: Automaker Cites 'Slower' EV Demand, Regulatory Environment
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GM Layoffs: Automaker Cites 'Slower' EV Demand, Regulatory Environment

🕒︎ 2025-10-29

Copyright Business Insider

GM Layoffs: Automaker Cites 'Slower' EV Demand, Regulatory Environment

General Motors is temporarily cutting about 5,500 roles as it makes changes to its EV strategy. Roughly 1,750 of those employees will be laid off indefinitely. On Wednesday, GM confirmed that it was "rerating" its Factory Zero plant in Detroit, Michigan, to downsize from two shifts to one. Of the roughly 3,400 workers furloughed from the plant over the summer, 2,200 will return, while 1,200 will be placed on indefinite layoff. The 2,200 workers will return on January 5, 2026. "In response to slower near-term EV adoption and an evolving regulatory environment, General Motors is realigning EV capacity," a GM representative wrote in a statement. "Despite these changes, GM remains committed to our U.S. manufacturing footprint." The Detroit News earlier reported on the layoffs. GM also confirmed that it will shut down two Ultium Cells battery plants in Warren, Ohio, and Spring Hill, Tennessee, between January 5 and mid-2026. 700 workers in Spring Hill will be placed on temporary layoff, GM confirmed. 850 workers in Warren will be placed on temporary layoff, while 550 workers will be placed on indefinite layoff. "Ultium Cells is adjusting production in response to recent changes in customer plant demand," a GM representative wrote in a statement. "During the temporary pause Ultium Cells plans to make upgrades to both facilities to provide greater flexibility." GM has been rolling back its ambitious EV plan. In a regulatory filing earlier this month, the company said that it was taking $1.6 billion in charges as it adjusts its EV strategy amid expectations that demand for electric vehicles is slowing.

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