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The
Detroit News first reported the cuts on Wednesday — covering
about 1,200 jobs at an all-electric plant in the Detroit area
and 550 workers at Ultium Cells battery cell plant in Ohio, in
addition to hundreds of other employees slated for temporary
layoffs. GM later confirmed the news to The Associated Press.
“In response to slower near-term EV adoption and an evolving
regulatory environment, General Motors is realigning EV
capacity,” the company said in a statement, while maintaining it
“remains committed to our U.S. manufacturing footprint.”
GM added that Ultium Cells is also “adjusting production in
response to recent changes in customer plant demand.” The
company said that battery cell production in Warren, Ohio and a
facility in Spring Hill, Tennessee would be paused beginning
January 2026.
Per the The Detroit News, 850 workers at the Ohio plant are
slated for “temporary layoffs,” along with another 700 employees
in Tennessee.
GM says these impacted employees “may be eligible to continue
receiving a significant portion of their regular wages or
salary, plus benefits.” The Michigan-based company said it will
use the pause to make upgrades at both facilities, and it
anticipates resuming operations by the middle of next year.
The dwindling EV adoption cited by GM Wednesday arrives shortly
after a recent expiration of federal tax credits. Before Sept.
30, new EVs came with a $7,500 federal tax credit, and up to
$4,000 for used vehicles. But prospective buyers can no longer
qualify. The incentive was ended as part of the massive tax and
spending cut bill Congress passed in June.
GM has also downsized other parts of its workforce recently. In
the last week, that's included layoffs of 200 salaried employees
— mostly computer-aided design engineers in Detroit — and
another 300 job cuts in Georgia, where the company is shutting
an IT Innovation Center.
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