GM, Ford, and Stellantis Reduce 20,000 White-Collar Jobs: AI’s Role
Detroit’s Big Three cut 19% of white-collar staff since 2022. GM laid off 500 IT workers this week while hiring for 250 AI roles.
General Motors, Ford, and Stellantis have collectively eliminated over 20,000 US salaried jobs from their peaks this decade, representing a 19% reduction in their combined white-collar workforces, according to CNBC’s analysis of public filings and employment data. The cuts accelerated recently with GM laying off 500 to 600 IT workers in Texas and Michigan due to shifting workforce needs related to artificial intelligence (AI).
The numbers reflect a trend of contraction predating the current AI era but significantly influenced by it. White-collar employment across the three automakers peaked at approximately 102,000 jobs in 2022, declining to 88,700 by the end of last year. GM led the reductions, cutting around 11,000 salaried positions from its 2022 peak, driven by the closure of Cruise and workforce evaluations under CEO Mary Barra. Ford scaled back by 5,300 workers, while Stellantis reduced its workforce by 3,000.
The contrast between these cuts and AI-related hiring is notable. The automakers currently have over 2,000 open US positions, nearly 400 of which involve AI. GM seeks more than 250 AI roles alone. This shift reflects the industry’s transition from maintaining legacy IT systems to developing AI technologies that automate many tasks.
Ford CEO Jim Farley has been vocal about this trend: "Artificial intelligence is going to replace literally half of all white-collar workers in the US." Similar sentiments were expressed by Salesforce CEO Marc Benioff, who recently cut 9,000 support staff after implementing AI agents handling half of customer interactions.
The auto industry’s conclusion aligns with the broader understanding: the workforce built for internal combustion engines and traditional business processes is larger than AI-augmented operations require.