GM cuts 200 engineering jobs

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【Summary】General Motors (GM) plans to cut 200 engineering positions as part of a strategy to rebalance resources and lower costs. The affected employees will have the opportunity to apply for open positions within the company. CEO Mary Barra aims to simplify design and engineering processes and reduce vehicle complexity to align with customer preferences.

FutureCar Staff Aug 25, 2023 9:56 AM PT

General Motors (GM) has announced plans to eliminate approximately 200 engineering positions. However, the affected employees will have the opportunity to transition to other roles within the company.

In a statement, a GM spokesperson explained that the automaker is taking action to rebalance its engineering resources in order to better align with its growth strategy. As a result, a small number of engineers will be required to move to different areas of the organization over the next few months. GM will assist those affected by providing them with the chance to apply for open positions.

GM's CEO, Mary Barra, revealed during the company's second-quarter earnings call in July that they are implementing a strategy called "Winning with Simplicity." This strategy aims to reduce design and engineering costs and streamline vehicle orders and manufacturing processes. As part of this initiative, GM plans to cut the number of trim levels in half, resulting in fewer part numbers. This simplification will benefit marketing, engineering, and manufacturing, while still ensuring that customers receive the best features they desire, according to Barra.