General Motors announced plans to reduce its workforce by 3,300 positions across three U.S. manufacturing sites, attributing the cuts to shifts in regulatory policy and their impact on near-term electric vehicle (EV) demand. The automaker said 1,200 roles will be eliminated at its Factory Zero assembly plant in Detroit, while its Ultium Cells Ohio facility in Lordstown will see 550 permanent job cuts and an additional 850 temporary layoffs. At the Ultium plant in Spring Hill, Tennessee, 700 temporary layoffs are planned.
Both Ultium plants are scheduled to pause operations at the start of 2026 to undergo facility upgrades, with production expected to resume midyear. GM characterized today’s announcement as part of an effort to align staffing levels with anticipated production volumes amid an “evolving regulatory environment” that it says has contributed to slower near-term EV uptake.
Industry observers note that the expiration of the federal EV tax credit last month spurred a temporary surge in vehicle orders, a pull-forward effect that may depress sales in the immediate quarters ahead, even as global EV adoption continues to grow. Earlier this year, GM lobbied for modifications to proposed clean-air regulations from the Environmental Protection Agency and Department of Transportation—moves the company estimates will reduce earnings by roughly $1.6 billion in the current quarter.
The latest workforce reductions follow a series of earlier job actions at GM plants this year. Company executives say the adjustments reflect broader market dynamics as GM scales its electric and autonomous vehicle programs. The planned upgrades at both Ultium facilities are part of GM’s longer-term strategy to expand battery production capacity and support future EV launches.
GM has reiterated its commitment to the EV transition, noting that aligning production with demand signals and regulatory requirements is critical to maintaining competitiveness. The company will continue to evaluate staffing and capacity investments as U.S. and global market conditions evolve.
Source: Electrek
