General Motors (GM) will lay off over 1,300 auto workers in Michigan shortly after Christmas, despite receiving hundreds of millions of dollars from the state’s taxpayers through deals with Governor Gretchen Whitmer.
The layoffs will affect workers at the Orion Assembly Plant and the Lansing Grand River Assembly/Stamping plant, as GM delays its shift to producing Electric Vehicles (EVs).
This move comes after a financial agreement in which Michigan taxpayers paid $824 million for GM to promise investments in auto jobs across the state, including the creation and retention of 5,000 jobs. (Trending: Obama Reveals His Fear For Joe Ahead Of 2024)
The layoffs at the Orion plant are the result of GM’s delaying its conversion to produce Electric Vehicles (EVs) like the Chevrolet Silverado EV and GMC Sierra EV.
At GM’s Lansing Grand River Assembly/Stamping plant in Lansing, Michigan, executives said 369 auto workers will be laid off starting January 1, 2024, through March of next year. The layoffs come as GM ends production of the Camaro.
Employees attend an event celebrating the 3 millionth vehicle produced at the General Motors Co. Lansing Delta Township Assembly Plant in Lansing, Michigan, U.S., on Friday, Feb. 21, 2020. (Jeff Kowalsky/Bloomberg via Getty Images)
Gov. Whitmer announced in January an $824 million bill to secure GM’s commitment to building plants and creating jobs in Michigan.
“GM’s $7 billion investment in Michigan — the largest in their history — will create and retain 5,000 good-paying jobs and enable us to build on our legacy as the place that put the world on wheels,” said Whitmer.
In the agreement, GM reportedly promised to make changes to the Orion plant which would allow it to produce EVs with a $4 billion investment.
GM also agreed to invest millions into the Lansing plant.
The automakers committed in the agreement to create 4,000 jobs in Michigan.
GM CEO Mary Barra said that GM’s investments into the state “would not have been possible” without Gov. Whitmer providing tax money and tax breaks.
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