GM cuts 940 jobs in IT operations in Arizona

To enhance efficiency, GM will keep 80 to 90 employees from its Arizona software vehicle teams


On 23 August 2023, General Motors announced its decision to eliminate 940 positions within its information technology sector. This workforce reduction will take place in Arizona, accompanied by the discontinuation of IT activities within the state. The company’s objective is to enhance operational efficiency and lower expenditures through these measures.

As per information from GM’s official site, the Arizona facility in Chandler commenced operations in 2014, situated about five miles to the southeast of Tempe. Its primary focus is to address GM’s IT necessities, which encompass web technologies, end-user applications, dealer and factory systems, along with vehicle technology.

As part of its ongoing efforts to streamline operations, GM has outlined its plans to retain a workforce of around 80 to 90 individuals from its software-defined vehicle teams in the state of Arizona.

Concurrently, the company will be centralising its information technology activities at its existing facilities in Michigan, Georgia and Texas. This strategic consolidation aims not only to enhance operational efficiency but also to facilitate better collaboration and innovation among the company’s IT teams across various locations.

In April 2023, General Motors revealed that approximately 5,000 salaried employees had opted for voluntary buyout packages as part of the company’s strategy to downsize. This initiative followed the automaker’s declaration of intent to achieve cost reductions amounting to $2 billion within the current fiscal year.

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