He knew the blow was coming, but news that 1,200 autoworkers are losing their jobs was still tough to swallow for Oshawa Mayor Dan Carter.
“It’s a difficult day,” said Carter Thursday, as the reality sank in that the General Motors assembly plant in his city was taking another heavy hit, with 1,200 workers set to lose their jobs Friday as previously-announced cuts take effect.
The cuts were announced last May in the wake of U.S. President Donald Trump’s tariffs on automotive imports.
In a town where GM been part of the civil and economic fabric for more than a century, the news was especially disappointing.
“We continue to pick ourselves up, but the reality is that these are people’s lives and it impacts how they see the future,” said Carter. “I think of the people who are asking, ‘how am I going to provide for my family? How am I going to pay my mortgage?’”
Roughly 500 full-time and 200 part-time GM workers are being laid off, according to Unifor. Another 500 people based out of the Oshawa GM plant but working for parts suppliers and other supply chain companies are also losing their jobs, the union said.
The head of the country’s biggest private sector union blasted GM for what it called caving in to Trump.
“General Motors has made a clear decision to cave to Donald Trump rather than stand up for its loyal Canadian workforce, making the workers in Oshawa pay for that appeasement with their jobs,” said Unifor national president Lana Payne. “It is misguided for General Motors to think it can get away with consistently diminishing their production footprint in Canada and still be the number one seller of vehicles in the Canadian marketplace. GM’s decision is not only short sighted but fails to recognize the mood of Canadians and Canadian workers.”
The company insisted Thursday that it’s still committed to manufacturing in Canada.
“As announced last year, Oshawa Assembly will return to two shifts of production beginning Feb. 2, while continuing preparations to build the next generation of gas‑powered full‑size pickups, reinforcing Oshawa’s future in GM’s key full‑size truck program,” the company said in a written statement. “GM and Unifor have worked closely to support employees through this transition with comprehensive separation packages, retirement support and other benefits, and we thank and recognize the employees impacted for their contributions.”
There’s no question Trump’s tariffs had a direct impact on GM’s decision to eliminate its third shift in Oshawa, said the head of Canada’s Automotive Parts Manufacturers Association.
“They made this decision because volumes are down,” said APMA CEO Flavio Volpe. “Volumes are down because those trucks are sold in the U.S., and they cost 25 per cent more right now.”
At the First Ministers’ meeting in Ottawa, Ontario Premier Doug Ford, who is working on an auto strategy with the federal government and industry players, said the layoffs are “very disappointing” and point to the need for Canada to move “quicker and faster” to be more competitive.
“We’re going to make sure that they have opportunities in the defence sector, life science sectors, and we’ll be there for them,” he added.
At Queen’s Park, opposition parties said the layoffs show the premier’s tough talk about Trump and tariffs is not enough to save jobs as Ontario’s auto industry takes another damaging hit.
“His made-for-TV quips are cold comfort for the workers and their families who are losing their paycheques,” New Democrat Leader Marit Stiles said in a statement.
Last year, global auto giant Stellantis announced it would move production of the Jeep Compass at its Brampton assembly plant to Illinois, and GM halted production of its poor-selling Brightdrop electric delivery van in Ingersoll, near London.
“Ontario needs a plan for these families, and Doug Ford does not have one,” said Liberal MPP Stephanie Bowman (Don Valley West), her party’s critic for finance and trade. “The government should have been more prepared.”
The move also comes as the Big Three Detroit automakers have seen their share of Canadian automotive production dwindle.
In 2025, industry estimates suggest that approximately 1.3 million light vehicles were produced in Canada, with roughly 900,000 of those being produced by Honda and Toyota.
Last week, the federal government also announced a deal had been reached to slash Canadian tariffs on 49,000 Chinese EVs from 100 per cent to 6.1 per cent in exchange for China cutting its tariff on Canadian canola seed from 100 per cent to 15 per cent, as well as slashing tariffs on Canadian lobster, crab and peas.
With files from Rob Ferguson