• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Editor's Pick GM cuts 50% of Cruise staff after ending robotaxi business
Editor's Pick

GM cuts 50% of Cruise staff after ending robotaxi business

by February 5, 2025
by February 5, 2025 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

General Motors is laying off roughly half of the employees who remain at its discontinued Cruise robotaxi business.

The plans come two months after GM said it would no longer fund Cruise after spending more than $10 billion since acquiring the self-driving car business in 2016.

“Today, Cruise shared the difficult decision to part ways with approximately 50% of its workforce,” Cruise said in an emailed statement. “We are grateful for their passion and contributions to help us reach this stage, and our focus is on supporting them into their next chapter with severance packages and career support.”

Cruise had nearly 2,300 employees as of the end of last year, a GM spokesman previously told CNBC.

In an internal email sent Tuesday morning to all Cruise employees, which was viewed by CNBC, Cruise President and Chief Administrative Officer Craig Glidden wrote that the 50% reduction came “as a result of the change in strategy we announced in December.”

“With our move away from the ride-hail business and toward providing autonomous vehicles to customers alongside GM, our staffing and resource needs have dramatically changed,” Glidden wrote.

He added that a string of executives will also depart this week: Marc Whitten, CEO; Nilka Thomas, chief human resources officer; Steve Kenner, chief safety officer; and Rob Grant, chief government affairs officer. Mo Elshenawy, president and chief technology officer, will stay on at Cruise through the end of April to help with transition duties, Glidden wrote.

The Cruise layoffs, which were first reported by TechCrunch, were expected, but executives had previously declined to speculate on the amount.

The job cuts were announced in conjunction with the Detroit automaker reporting the completion of Cruise becoming a wholly-owned subsidiary within GM, which is now focusing on “personal autonomous vehicles” rather than robotaxis.

About 88% of remaining employees are in engineering or related roles, and impacted employees were given 60 days’ notice, according to the company.

During the remainder of their time with Cruise, the affected employees will receive full base pay, as well as eight weeks’ severance. Employees who had been with Cruise for more than three years will receive an additional two weeks’ pay for every additional year spent at Cruise, the company said.

“While not an easy decision, we are focused on combining efforts with General Motors to accelerate autonomy at scale on personal autonomous vehicles,” Cruise said.

GM’s Cruise was considered a leader in the business along with Alphabet-backed Waymo until the company grounded its robotaxi fleet and announced the end of its commercial operations late last year. That came after a October 2023 accident in which external probes found the company misled or deceived regulators about the incident.

In January 2024, a third-party probe into Cruise revealed that culture issues, ineptitude and poor leadership were at the center of regulatory oversights and coverup concerns that had plagued the company.

The report addressed, in part, controversy that had swirled around Cruise since an Oct. 2, 2023, accident in which a pedestrian in San Francisco was dragged 20 feet by a Cruise robotaxi after being struck by a separate vehicle. Results of the investigation, which reviewed whether Cruise representatives misled investigators or members of the media in discussing the incident, were published months later in a 105-page report.

This post appeared first on NBC NEWS
You Might Also Like
  • Home Depot says the worst of inflation is over — that could be good news for retailers and shoppers
  • Protesters stage sit-in outside New York Stock Exchange to spotlight Gaza attacks
  • Rate cuts before the year’s end could make your next trip abroad more expensive
  • Harris to propose federal ban on ‘corporate price-gouging’ in food and groceries
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Fox reveals plans to launch subscription streaming service this year
next post
Diversification Dos And Don’ts

You may also like

Trump Media shares end week down nearly 20%, losing billions...

April 13, 2024

American Airlines raises bag fee by $10 for luggage checked...

February 21, 2024

Former Disney CEO Bob Chapek breaks silence, says there’s no...

March 25, 2024

Disney CEO Bob Iger vanquishes billionaire foe Nelson Peltz in...

April 4, 2024

Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese...

July 10, 2024

Nvidia CEO says he was wrong about timeline for quantum,...

March 21, 2025

As inflation cools, Social Security could pay out a smaller...

July 12, 2024

Honda recalls thousands of Honda CR-V hybrids over electrical issue...

December 21, 2023

Jenny Craig tells employees it will shut its doors after...

May 5, 2023

S&P 500, Nasdaq close at all-time highs ahead of inflation...

July 10, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Want Faster, Lower Risk Trades? Use This Setup

      July 9, 2025
    • The Seasonality Trend Driving XLK and XLI to New Highs

      July 9, 2025
    • Small Caps Are Rotating In — Here’s Why It Matters

      July 9, 2025
    • Amazon extends Prime Day discounts to 4 days as retailers weigh tariffs and price increases

      July 9, 2025
    • Breakout Watch: One Stock in Each Sector to Watch Now

      July 9, 2025

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 3,630 views
    • 2

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,919 views
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,607 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,575 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,449 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,167)
    • Investing (538)
    • Stock (2,660)

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 2

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • Want Faster, Lower Risk Trades? Use This Setup

      July 9, 2025
    • The Seasonality Trend Driving XLK and XLI to New Highs

      July 9, 2025
    • Small Caps Are Rotating In — Here’s Why It Matters

      July 9, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,167)
    • Investing (538)
    • Stock (2,660)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    Spirit Airlines gets rid of change...

    May 22, 2024

    Universal’s Epic Universe theme park set...

    October 18, 2024

    Richard Parsons, former Time Warner CEO,...

    December 27, 2024
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here