GM to Layoff 700 Employees in September
General Motors (GM) announced plans to eliminate the third shift at its Oshawa Assembly Plant in Ontario this fall, resulting in approximately 700 direct job losses and potentially affecting an additional 1,500 positions within the supply chain.
The decision comes in response to declining demand and recent U.S. trade policies, including a 25% tariff on Canadian-built vehicles imposed by the Trump administration in March.
GM stated that the shift reduction aims to "support a sustainable manufacturing footprint" as the company adjusts the plant's operations to focus on producing trucks for the Canadian market.
The Oshawa facility, which assembles Chevrolet Silverado pickups, will transition from a three-shift to a two-shift schedule.
Unifor, the union representing about 3,000 workers at the plant, criticized the move as "reckless" and expressed concern over the broader impact on the automotive sector.
Unifor National President Lana Payne stated:
"Cutting the third shift at Oshawa Assembly is a reckless decision that deals a direct blow to our members and threatens to ripple through the entire auto parts supplier network."
The timing of the announcement has also drawn political attention. Canadian Prime Minister Mark Carney expressed sympathy for the affected workers and emphasized the government's commitment to the auto sector.
He warned that companies not acting in partnership with Canada on employment and investment may face consequences.
Ontario Premier Doug Ford described the layoffs as "extremely tough" for the workers and their families, reaffirming the province's support for the auto industry.
The Oshawa plant had previously been shuttered in 2019 but reopened in 2021 with significant public investment. The current layoffs underscore the ongoing challenges faced by the Canadian automotive industry amid shifting trade dynamics and economic pressures.
