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Detroit: Automaker giant General Motors has laid off more than 200 salaried employees in a bid to reevaluate its business and meet cost-cutting targets to boost its profits. Those impacted by the latest job cut are engineers working in the Computer-Aided Design (CAD) department, employed at the automaker’s global campus in Detroit. In a statement, General Motors' email to employees said, "We are restructuring our design engineering team to strengthen our core architectural design engineering capabilities… As a result, a number of CAD execution roles have been eliminated. We recognise the efforts and accomplishments of the impacted team members and we thank them for their contributions." Though the automaker giant didn’t specify the exact number of employees being laid off, a Bloomberg source reported that around 200 employees have been affected by this latest restructuring. General Motors told employees that the decision was in sync with business conditions and not a reflection of their performance. In recent times, GM's white-collar salaried employee count has dropped to 50,000, down from 53,000 in 2023. GM Foresees a Smaller Impact from Tariffs General Motors anticipates a smaller impact from tariffs and is boosting its full-year adjusted earnings forecast as its third-quarter performance topped Wall Street's expectations. The automaker reduced its expectations for the full-year gross impact from tariffs to a range of $3.5 billion to $4.5 billion. Its previous guidance was $4 billion to $5 billion. GM anticipates its tariff mitigation actions will offset about 35% of the impact due to a lower tariff base. GM To Take a $1.6 Billion Hit as Tax Incentives for EVs Slashed In another recent development, General Motors will record a negative impact of $1.6 billion in its next quarter after tax incentives for electric vehicles were slashed by the US and rules governing emissions are relaxed. With inputs from AP
