General Motors to Lay Off 1,300 Workers in Michigan Plants
General Motors has announced plans to lay off approximately 1,300 workers from two of its Michigan plants. The job cuts will take place at GM's Orion Assembly and Lansing Grand River Assembly in the new year. The company filed WARN notices with state regulators.
This decision comes after GM's announcement in October that it would be delaying the production of its electric pickup truck until 2025. As a result, the layoffs will affect 945 workers at the Orion plant and 369 employees at the Lansing assembly plant.
The Orion plant is known for producing the Chevrolet Bolt EV and Bolt EUV crossover. GM had plans to produce more electric vehicles, including the Chevrolet Silverado EV and GMC Sierra EV, at the plant. However, the company's decision to delay production has led to the unfortunate fate of the workers, as the plant remains idle.
GM clarified that the delay was not caused by the recent United Auto Workers' strike, which was the longest auto strike in the United States in the past 25 years.
GM Announces Layoffs at Orion and Lansing Grand River Assembly Plants
General Motors (GM) has announced layoffs at its Orion and Lansing Grand River Assembly plants due to the declining demand for electric vehicles (EVs). The company stated that it anticipates job opportunities for all impacted team members in accordance with the UAW-GM National Agreement.
The Lansing Grand River Assembly plant will continue producing the Cadillac CT4 and Cadillac CT5 models, while UAW members who were laid off at the Orion plant will be offered other opportunities in Michigan, including positions at Factory ZERO in Detroit-Hamtramck. Salaried employees at the Orion Assembly plant will also be placed in other internal opportunities within GM.
The layoffs at GM are reflective of the current uncertainty in the EV market. Edmunds.com reports that discounts for EVs have been increasing as they remain unsold on dealer lots for longer periods compared to gas vehicles. This indicates a decline in demand for EVs, which were previously expected to have a promising future.
GM is not the only automaker facing cost-cutting measures. Ford announced in October that it would be laying off 700 employees involved in building the F-150 Lightning, the electric-powered version of its popular vehicle. The layoffs will be rotated among three shifts at the Rouge Electric Vehicle Center in Dearborn.
