GM Job Cuts Force Oshawa Workers to Consider Relocation Amid High Unemployment

The Impact of GM’s Shift Cut on Oshawa Workers

General Motors is set to eliminate the third shift at its Oshawa Assembly plant on January 30, leading to approximately 2,000 layoffs. This includes 750 GM workers and an additional 1,500 supply-chain employees. The decision has left many, like Todd Forbes, facing the difficult choice of leaving their hometown.

A Worker’s Personal Struggle

Todd Forbes, a 48-year-old Oshawa native, has deep roots in the community. He lives close to his four children and seven grandchildren and has worked at TFT Global Inc., a supplier to the GM plant, for over a year. After battling cancer and completing a college program, this was his first full-time job. Forbes describes the prospect of moving as "gut-wrenching," but with Oshawa’s unemployment rate at 9%—one of the highest in Canada—he feels he has no choice. He is considering relocating to Nova Scotia with his wife and dog, believing job prospects are better there.

Broader Economic Context

The layoffs come as Canada’s national unemployment rate hits 7.1%, the highest since 2016 excluding the pandemic. Ontario has been particularly affected, losing about 26,000 jobs in August. Sectors like transportation, warehousing, and manufacturing have seen significant job losses, partly due to U.S. tariffs on auto parts and vehicles.

Jeff Gray, president of Unifor Local 222, emphasizes the generational impact: many workers come from families that have worked at GM for decades. He notes that the plant directly employs 3,000 people, with 2,000 more in the supply chain. The postponement of the shift cut from November to January offered a brief reprieve, but the threat remains.

Expert Insights on Unemployment and Tariffs

Brendon Bernard, a senior economist with Indeed, points out that while motor vehicle manufacturing jobs are down 3% since January, it’s unclear how much of Oshawa and Windsor’s high unemployment is directly tied to tariffs. Both cities had elevated rates before the trade war intensified. Bernard suggests companies may be holding off on drastic layoffs until the trade situation stabilizes.

Community and Political Responses

Oshawa Mayor Dan Carter remains optimistic, citing ongoing talks with GM and efforts to attract new businesses through incentives like waived development fees. He highlights Oshawa’s diverse economy, where healthcare (17%), retail, and education are now the top employers, compared to manufacturing’s 3% share. However, Chris Waugh, Unifor chair for the plant, criticizes retraining programs, stating workers prefer to keep their GM jobs rather than transition to new fields.

The Human Cost

For workers like Forbes, the potential move means leaving behind family and community. He recently traded his car for a van to fit his grandkids for outings, but now he may use it to drive east. Despite the uncertainty, Forbes plans to visit Oshawa as often as possible if he relocates, underscoring the emotional toll of job loss and displacement.