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- GM lays off over 1,700 workers indefinitely as EV demand slows (foxbusiness.com)
General Motors Scales Back EV Production, Announcing Layoffs and Temporary Plant Pauses
Detroit, MI – General Motors (GM) announced Wednesday a significant restructuring of its electric vehicle (EV) production plans, which will result in the indefinite layoff of 1,750 employees and temporary cuts for another 1,670 in the coming months. The Detroit-based automaker attributes these adjustments to a slower-than-anticipated near-term adoption of electric vehicles and a shifting regulatory landscape.
The company’s flagship EV assembly plant in Michigan, Factory Zero, is at the center of these changes. Production, which currently includes models like the GMC Hummer EV, Chevrolet Silverado EV, GMC Sierra EV, and Cadillac Escalade IQ, will remain paused through November 24th.
Following this, the plant will transition to a single-shift operation. GM informed employees on Wednesday that when both shifts are reinstated at the end of November, a selection process will determine which senior workers will comprise the single shift, leading to the indefinite layoff of approximately 1,200 employees who do not make the cut.
Earlier this month, a regulatory filing indicated that GM anticipates a $1.6 billion loss for the third quarter of 2025 directly linked to its plans to scale back and adjust EV production and factory operations.
In a statement to FOX Business, GM affirmed its commitment, stating, “Despite these changes, GM remains committed to our U.S. manufacturing footprint, and we believe our investments and dedication to flexible operations will make GM more resilient and capable of leading through change.”
Battery Plant Adjustments and Further Layoffs
Concurrently, GM is adjusting production at its two Ultium Cells battery plants, a joint venture with LG Energy Solution. These facilities, located in Warren, Ohio, and Spring Hill, Tennessee, produce lithium-ion battery cells for GM’s Ultium platform EVs.
Battery cell production at both the Spring Hill and Warren factories will be temporarily paused beginning in January 2026, with operations anticipated to resume by mid-2026. During this temporary pause, Ultium Cells plans to implement upgrades to both facilities to enhance flexibility.
The pause will result in the temporary layoff of 850 employees at the Ohio plant. When the Warren plant resumes operations, it will also scale down to a single shift, leading to the indefinite layoff of approximately 550 employees.
The Spring Hill, Tennessee, location, which is already operating with one shift, will temporarily lay off 710 employees during its idle period. These employees are expected to be brought back when production resumes.
GM has stated that affected employees may be eligible to continue receiving a significant portion of their regular wages or salary, along with benefits, during the production pause, and will also receive holiday pay.
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- GM lays off over 1,700 workers indefinitely as EV demand slows (foxbusiness.com)