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GM Reboots IT: Layoffs Fuel AI Hiring
12 May
Summary
- GM eliminated over 10% of its IT staff, impacting around 600 employees.
- The company is prioritizing AI-native development and data engineering roles.
- This strategic shift aims to prepare GM's IT department for future technologies.

General Motors recently reduced its IT workforce by more than 10%, affecting around 600 salaried employees. The automaker confirmed this restructuring is intended to better position its Information Technology organization for future advancements. This initiative involves not just reducing headcount but also reallocating resources towards highly specialized skills.
The company is prioritizing hiring for roles in AI-native development, data engineering, agent and model development, and prompt engineering. This strategic pivot indicates a move away from general IT support towards building AI capabilities from the ground up. These layoffs are part of a broader trend at GM over the past 18 months, focusing resources on high-priority areas like artificial intelligence.
This workforce transformation aligns with changes in GM's software division since Sterling Anderson became chief product officer in May 2025. The company has since made key AI-focused hires, underscoring its commitment to integrating advanced AI technologies across its operations. This restructuring serves as an industry example of how enterprises are approaching AI adoption through deliberate workforce rebuilding.