GM just laid off hundreds of IT workers to hire those with stronger AI skills
techcrunch.com May 12, 2026

GM just laid off hundreds of IT workers to hire those with stronger AI skills

AI-summarised brief · reviewed before publication

General Motors has laid off over 10% of its IT department, approximately 600 employees, in a deliberate effort to replace workers with outdated skills and hire those with AI-focused backgrounds. The layoffs are part of the company's transformation to prepare for the future, with a focus on high-priority initiatives including AI. GM is seeking employees with expertise in AI-native development, data engineering, and analytics, among other skills. The company is still hiring for its IT department, but for different roles. This move follows previous layoffs, including the cut of about 1,000 software workers in August 2024. GM's restructuring aims to rebuild its workforce with AI capabilities.

💡 Why It Matters

  • · GM's deliberate skills swap underscores the need for enterprises to rebuild their workforce from the ground up to adopt AI effectively.
  • · The company's focus on hiring AI-native talent highlights the shift towards demanding specialized skills.