General Motors implements major job cuts, affecting hundreds of contract workers

General Motors Co laid off several hundred full-time contract workers at its engineering center located in the suburbs of Detroit, according to a company spokesperson cited by the Wall Street Journal on Monday.

General Motors did not respond to a Reuters request for comment regarding the recent layoffs of several hundred full-time contract workers at its engineering hub in suburban Detroit. 

Meanwhile, GM's shares rose approximately 2.5% to $33.86. In April, the automaker had announced that around 5,000 salaried employees had opted for buyouts to exit the company, bringing it closer to achieving its cost-cut target of $2 billion by the end of 2024.

In March, it was reported by Reuters that GM would be reducing the number of executive-level and salaried positions by hundreds. However, despite inflationary pressures, automakers have managed to overcome this by increasing prices and meeting customer demand for vehicles. 

As evidence, GM's earnings for the first quarter exceeded expectations and the company has consequently increased its forecasts for full-year profit and cash-flow.