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GM indefinitely lays off more than 1,700 workers due to reduced EV demand

General Motors (GM) announced on Wednesday that it will lay off 1,750 workers indefinitely and temporarily cut 1,670 additional positions as part of a strategic shift in electric vehicle (EV) production. The automaker is responding to a slowdown in EV adoption and changes in the regulatory landscape.

The layoffs will affect operations at Factory Zero, GM's flagship EV plant located in Michigan, which produces models such as the GMC Hummer EV and Chevrolet Silverado EV. Production at this facility will be paused until November 24, after which it will transition to a single shift. This adjustment will result in approximately 1,200 employees not being retained for that shift, leading to indefinite layoffs.

In a regulatory filing, GM projected a $1.6 billion loss for the third quarter of 2025, primarily due to these production adjustments. The company expressed its commitment to maintaining a robust U.S. manufacturing presence and aims to enhance its operational flexibility to navigate market changes.

Additionally, GM is modifying operations at its Ultium Cells battery plants located in Warren, Ohio, and Spring Hill, Tennessee. Battery production at these facilities will be temporarily halted starting January 2026, with an expected resumption by mid-2026. During this pause, 850 employees in Ohio will be temporarily laid off, and the plant will return to a single shift, resulting in about 550 indefinite layoffs. The Spring Hill location, currently operating with one shift, will also see temporary layoffs of 710 employees.

Affected employees may be eligible for partial wage compensation and benefits during the production pauses, in addition to holiday pay. GM’s adjustments reflect its efforts to align production with evolving market demands in the electric vehicle sector.

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