AI-Driven Restructuring Leads GM to Cut 600 IT Jobs
General Motors (GM) has announced a significant restructuring of its workforce, with a shift towards prioritizing artificial intelligence and future-focused technological capabilities. This strategic move, announced on May 11, 2026, will result in the layoff of between 500 and 600 information technology employees globally.
The layoffs, which commenced on Monday, predominantly affect workers in Austin, Texas, and Warren, Michigan. This represents a significant cut, accounting for more than 10% of GM’s IT department. However, it’s important to note that these are not permanent headcount reductions. The automaker is concurrently hiring for different skill sets, with approximately 80 IT positions currently open. These positions focus on areas such as AI-native development, data engineering, cloud-based engineering, and agent and model development.
GM is transforming its Information Technology organization to better position the company for the future. As part of that work, we have made the difficult decision to eliminate certain roles globally.
This restructuring reflects a broader industry trend as traditional automakers evolve into software, autonomy, and AI-focused companies. The move follows GM’s hiring of Sterling Anderson, co-founder of Aurora, as Chief Product Officer in May 2025. Anderson has been leading efforts to consolidate GM’s technology businesses. The company has since brought on AI-focused talent, including Behrad Toghi from Apple as AI lead.
Source: CNBC