What GM'S Layoffs Reveal About the Digitalization of the Auto Industry

News that General Motors plans to cut up to 14,800 jobs in the U.S. and Canada was initially reported as a conventional business-cycle adjustment -- a "trimming of the sails." The main causes of the cuts were understood to be slowing demand in the U.S. and China, slumping demand for sedans, and the need to reduce over-capacity in North America. Then the story turned political, as President Trump lashed out at GM while some observers framed the news as a blow to the president's promises to bring jobs back to the U.S. heartland. And then others focused on the community disruption of plant closings in the Rust Belt and how it might be mitigated. While all of those perspectives are relevant, the most revealing aspect of GM's announcement may well be what the layoffs say about broader technology trends.