(AmericanProsperity.com) – General Motors is laying off more than one thousand salaried workers in the software and services departments. This has been done as a result of a review to help streamline their operations as a company and make changes for financial purposes.
GM didn’t disclose the exact number of layoffs but one source, who wanted to remain anonymous due to confidentiality, said that it was around one thousand employees, including six hundred from Warren, Michigan.
“As we build GM’s future, we must simplify for speed and excellence, make bold choices, and prioritize the investments that will have the greatest impact,” a GM spokesperson wrote in an email.
“As a result, we’re reducing certain teams within the Software and Services organization. We are grateful to those who helped establish a strong foundation that positions GM to lead moving forward.”
General Motors has been looking to reduce costs and employee headcount in case of an industry downturn. They are also putting billions of dollars into areas such as all-electric vehicles or software-defined vehicles as their popularity continues to grow.
The software and services division of the company covers multiple areas such as infotainment, their OnStar brand, and other emerging areas like subscriptions.
Software has been a huge area for many automobile manufacturers to focus on as there is a potential to monetize it. This has been something that many car brands, including GM, have been interested in learning how to monetize, such as with a subscription model.
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