General Motors will lay off more than 1,000 employees

General Motors (GM) has announced the layoffs of more than a thousand workers from its software development and service divisions.

The company confirmed the layoffs, which were first reported by CNBC.

“As we work for GM’s future, we must simplify our structure for the sake of speed and the pursuit of excellence, make bold decisions and prioritize investments that will have the greatest impact,” the company said in a statement.

The cuts will affect about 600 jobs at the company’s technology campus near Detroit, according to CNBC. GM noted that about half of the cuts will be in the United States.

The company said the decision to make the layoffs was not due to a desire to cut costs, but was made after a performance review following the departure of executive vice president of software and services Mike Abbott.

A former Apple executive, Abbott was hired in 2023 to lead GM’s software development efforts as the automaker ramps up investments in electric vehicles and subscription-based services. He left the company in March this year for health reasons.