Key Highlights
- General Motors eliminated approximately 600 IT positions, representing over 10% of its information technology division
- The layoffs represent a strategic workforce transformation focused on AI capabilities rather than simple cost-cutting measures
- Shares of GM declined 4.45% to close at $75.29 on May 11
- The automaker is actively recruiting for positions in AI development, data engineering, and machine learning
- The company has implemented multiple white-collar workforce reductions throughout the last year and a half
Shares of General Motors tumbled 4.45% to settle at $75.29 on May 11 following confirmation that the Detroit-based automaker had eliminated approximately 600 salaried positions within its information technology division — representing more than 10% of the department’s total workforce.
Bloomberg initially broke the story, which GM subsequently verified in statements to TechCrunch.
The automaker characterized the decision as a fundamental restructuring of its technology operations. “GM is transforming its Information Technology organization to better position the company for the future,” representatives stated in an official company release.
However, this isn’t simply about reducing headcount. Sources with knowledge of the situation informed TechCrunch that General Motors is simultaneously conducting aggressive recruitment — targeting entirely different competencies.
The positions GM is currently seeking to fill emphasize AI-native software development, cloud-based infrastructure engineering, data engineering expertise, machine learning model creation, AI agent development, prompt engineering capabilities, and innovative AI-driven workflows.
Essentially, GM is pursuing professionals capable of constructing AI systems from the foundation up — not merely individuals who leverage AI tools for everyday productivity enhancement.
Ongoing Organizational Transformation
This marks far from General Motors’ initial white-collar workforce reduction. Back in August 2024, the corporation eliminated roughly 1,000 software engineering positions while refocusing efforts on critical priority initiatives.
Throughout the preceding 18 months, GM has systematically reduced personnel across various divisions while reallocating resources toward artificial intelligence and advanced software development capabilities.
The transformation accelerated within GM’s technology divisions following Sterling Anderson’s appointment as chief product officer in May 2025. Anderson previously co-founded Aurora, an autonomous trucking venture, and brings extensive autonomous vehicle industry experience.
He moved swiftly to merge GM’s scattered technology operations into a unified organization. That consolidation resulted in notable departures. Last November, three prominent software division executives exited the organization.
Those high-profile departures included Baris Cetinok, who served as senior vice president overseeing software and services product management, Dave Richardson, senior vice president responsible for software and services engineering, and Barak Turovsky, who had completed merely nine months as GM’s inaugural chief AI officer.
Strategic Talent Acquisition
General Motors has been systematically replacing departed executives with AI-focused specialists.
In October, the company recruited Behrad Toghi — formerly with Apple — to serve as its AI leadership role.
GM also appointed Rashed Haq as vice president overseeing autonomous vehicle development. Haq dedicated five years at Cruise, GM’s now-discontinued self-driving division, where he directed AI and robotics operations.
The emerging trend is unmistakable: GM isn’t simply maintaining its current technological infrastructure. The automaker is fundamentally reconstructing critical segments of its technology organization with artificial intelligence as the central foundation.
GM shares concluded trading at $75.29 on May 11, declining $3.51 throughout the session, with extended-hours activity showing an additional modest decrease to $75.06.
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