Herzliya, May 7: General Motors (GM), a global automobile giant based in the United States, announced layoffs of hundreds of employees in Israel. The General Motors layoffs will be linked to the closure of the autonomous vehicle subsidiary in the country, as part of the global restructuring efforts of the automobile giant. The US-based company had also been facing a slowdown in its demand for electric vehicles (EVs), which made it re-evaluate its autonomy roadmap.
The latest round of GM layoffs in 2025 will affect hundreds of employees working at the developer centre in Herzliya. The centre has been the most critical global R&D hub, reportedly employing around 700 staff members. As of now, the exact numbers of employees affected cannot be known; however, it was sure that hundreds would lose their jobs. The layoff round will lead to significant workforce reductions, as per the reports. PwC Layoffs: UK-Based Fintech Consulting Firm Laying Off More 1,500 Employees, 2% of Workforce in US Amid Facing Global Challenges.
General Motors Layoffs Linked to Cruise Shutdown
The latest round of General Motors layoffs will reportedly be announced after the automobile giant shut down and integrated its autonomous driving subsidiary, Cruise. GM’s Cruise was deemed the future-driven autonomous driving subsidiary, which had so much on it; however, it faced a series of setbacks. Cruise was struggling with regulatory scrutiny, financial pressure and safety incidents. Tech Layoffs 2025: 51,028 Employees Laid Off by 112 Companies So Far This Year Due to Various Reasons, 23,486 Laid Off in April Alone.
General Motors disbanded Cruise, leading to significant role duplication across its global operations and resulting in redundancies, including overlapping positions in Israel. GM confirmed the layoff of employees by issuing a statement. It said, “In order to accelerate GM’s vision for autonomy, we are aligning our team structure with our most critical priorities.” The automobile giant said that it was a difficult decision for it to reduce the roles of the people working on the autonomous vehicle technology in Israel. General Motors stated, “We are grateful for the teams’ contributions to this effort.” GM has also announced job cuts across the US amid slow electric vehicles (EVs) sales in recent weeks.
(The above story first appeared on LatestLY on May 07, 2025 03:08 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).