GM makes additional investment in Oshawa after laying off 1,200

General Motors Canada has thrown the City of Oshawa a bone after layoffs in January 2026 left nearly 1,200 Canadians without jobs. The $65mn investment will be used to usher in GM's new line of full-cab pickup trucks, which will be produced at the newly lightened Oshawa plant. The investment is an extension of GM's initial investment of $280mn announced in 2023. Since 2020, GM has invested $1.5bn in its Oshawa plant, but experts call the most recent addition a ‘relatively small' investment. The City of Oshawa has been disproportionately affected by Donald Trump's sweeping tariffs, specifically those levied against the Canadian steel industry.

Oshawa plant layoffs

In January 2026, General Motors announced it would be laying off nearly 1,200 autoworkers at its plant in Oshawa, Ontario. In 2024, GM's Oshawa car assembly plant housed more than 4,00 workers – 3,600 hourly workers and more than 400 salaried staff members. By laying off more than a quarter of its hourly staff, the plant has been hamstrung by Donald Trump's tariffs on steel and auto parts. GM's $63mn investment represents a commitment to shifting the Oshawa assembly plant to focus on producing GM's new line of full-size gas pickups. The Oshawa assembly plant is the only GM factory in North America currently producing the light-duty and heavy-duty Chevrolet Silverado pickups on the same line.  

MP Jamil Jivani

The Member of Parliament for Oshawa is Jamil Jivani, a close friend of US Vice President JD Vance. Jivani recently went on what politicians are calling an anti-Canadian tirade. In an interview with American far-right outlet Breitbart, Jivani claimed that Canadian's needed to stop having an ‘anti-American hissy fit' in response to Donald Trump's tariffs. Jivani coupled the comments with an unofficial trip to the US where he met with his buddy JD, U.S. Trade Representative Jamieson Greer, Secretary of State Marco Rubio and automotive manufacturer General Motors. Some painted the move as posturing, others as Jivani's attempt to leverage his relationship with Vance to aid his riding.

New investment

General Motors announced the investment in a press release posted to the company's news page. The release reinforced that Oshawa will have a key role in GM's future, and that the plant could become central to the company's operation. After laying off more than 1,000 workers, GM's press release painted the new investment as an opportunity for Oshawa. GM claimed the Oshawa assembly plant will be ‘critical' to General Motors as a company, and the press release claimed that Oshawa will be critical for years to come. Unifor National President Lana Payne has heavily criticized General Motors for its layoffs, calling them a betrayal of trust and accusing the company of bowing to Donald Trump's aggressive right-wing policies.

Payne was quoted as saying, “General Motors has made a clear decision to cave to Donald Trump rather than stand up for its loyal Canadian workforce”.

Canadian politicians react

A slew of Canadian politicians from either side of the aisle have commented on either the mass layoffs or the additional investment from GM. Industry Minister Melanie Joly called the layoffs ‘unacceptable'. Ontario NDP leader Marit Stiles used the layoffs to promote platform, claiming that they were proof of Ontario's need for a more comprehensive provincial auto strategy. Stiles criticized Ontario Premier Doug Ford's handling of the auto sector as a whole. On his part, Premier Ford got right to business, claiming that Ontario has a plan to ensure that laid-off workers have other opportunities for employment. Ford called the layoffs ‘disappointing' and used the $63mn investment as an opportunity to speak out against the newly repealed EV mandate.

Canadian Prime Minister Mark Carney has not commented on the new investment, and with the Provincial Liberals without a commandant at its helm, the Liberal Party of Canada has stayed relatively silent. Oshawa Mayor Dan Carter did make multiple statements, though, both condemning Gm's actions and ensuring the laid-off employees that the City of Oshawa will do everything in its power to help the affected residents pivot to new employment. Carter did acknowledge that GM has brought thousands of jobs and millions of dollars of income to Oshawa, but stressed the two parties' close relationship was built on trust and reliability.

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