Reportedly, the recent GM layoffs contribute to roughly 1.3 percent of the company’s global salaried workforce of 76,000.
Renowned automaker General Motors is reportedly slashing more than 1,000 jobs in the services and software sector, as per recent reports. The company then confirmed the recent development and said, “as we build GM's future, we must simplify for speed and excellence, make bold choices, and prioritize the investments that will have the greatest impact." The automaker added in its statement, "We are grateful to those who helped establish a strong foundation that positions GM to lead moving forward.”
"As a result, we're reducing certain teams within the Software and Services organisation," GM asserted. However, the company has not yet satisfied as to how much the current firing of employees will have an impact on the software engineering workforce.
Meanwhile, a report in Bloomberg suggests that around 600 layoffs will be in Michigan. Not to miss, the recent firings comes after the ex-Apple executives Baris Cetinok and David Richardson were given senior VP roles in the group a couple of months ago. Under their division, they cover areas such as vehicle infotainment, OnStar services, and the company’s Super Cruise advanced driver-assist system. In fact, former Apple executive Mike Abbott left GM in March due to health reasons.
On the other hand, a report in CNBC claims that the recent job cuts contribute to roughly 1.3 percent of General Motors’ global salaried workforce of 76,000. It is believed that the employees impacted by the layoffs were informed about it via mail on Monday, and the job cuts have been due to the effort by the company to dip the costs in wake of downturn fears. It cannot go unnoticed that several companies are now spending loads of money for software-defined vehicles and EV markets, as reported by CNBC.
The General Motors’ layoffs come amid several US and Canadian companies slashing jobs since they remain uncertain about the economic conditions considering the current geopolitical tensions.
More so, the tech sector has seen the most layoffs in the world. Intel too will reportedly be firing over 15 percent of its workforce, some 17,500 people, as Reuters reported, since the chipmaker is now looking to remain focused on its money-losing manufacturing business.
Coming back to GM, the company has been facing challenges with software issues in its new Chevy Blazer EV. Despite ongoing setbacks, the company aims to expand its hands-free driving system, with plans to broaden its capabilities by the end of 2025.
