Eligible hourly workers at General Motors are set to receive profit-sharing checks averaging $10,500 this year, a notable drop from the previous year's payouts. The reduced profit-sharing figures were confirmed by GM officials and first reported yesterday by MLive and ABC12. About 47,000 U.S. employees will be affected by this year's 27% decrease in payments, which in the previous year stood at a record-breaking amount.
While the profit-sharing is less than before, it's not without its reasons. GM's net income for the full year of 2025 was reported at $2.7 billion, with adjusted earnings before interest and taxes being $12.7 billion, as mentioned in CEO Mary Barra's letter to shareholders. However, for the final quarter of 2025, the automaker faced a $3.3 billion loss, a slight increase from the $2.9 billion loss in the last quarter of 2024, according to the same reports by ABC12 and MLive.
In response to the smaller checks, some GM employees have voiced their concerns. An employee with nearly 30 years at the company expressed disappointment, telling CBS News Detroit, "I would like our UAW representatives to stand up to the plate and go to battle with the management at GM." This individual pointed to the sales dip in electric vehicles as a primary reason for the reduced profit-sharing. "Management is stumbling over their poor EV choices, forcing that EV stuff out there and people don't want and didn't buy, and now they've got to find a way to stumble through it," he said.
Despite the discontent among some workers, the United Auto Workers (UAW) maintained a positive front. "As always, our membership performed beyond all expectations," the UAW's International Union posted on its Facebook page, commending the skillfulness of its members in generating profits. Paul Eisenstein, editor with Headlight. News, suggested that the tariff impacts also contributed to the situation, telling CBS News Detroit, "We know the automaker basically lost billions of dollars in terms of the hit that it took, largely swallowing the trump tariffs in the last nine months or so." Workers who were counting on the extra income for significant expenditures, like weddings or bill payments, will receive the distributions on February 27, the UAW announced.
In Michigan, over half of GM’s 97,000 U.S. employees work across 38 facilities, including five assembly plants. Flint Assembly, GM's last vehicle production site in Flint, resumed operations on January 26 after an extended shutdown for renovations. The company projects that with robust market share achievements and disciplined operations, 2026 could be an even more successful year for GM's U.S. market presence, as relayed through a statement by CEO Mary Barra.
