GM Announces $10 Billion Stock Repurchase to Calm Shareholders Amid EV and Autonomous Vehicle Project Slowdown

General Motors (GM) has revealed its intention to significantly enhance the distribution of cash to its shareholders. This move is initiated by GM's CEO, Mary Barra, in efforts to placate concerns regarding the robustness of the company's primary automotive business, following the hurdles encountered in the development of electric and autonomous vehicle projects.

Efforts to Mitigate Increasing Labor Costs

In addition to the stock buyback announcement, GM has communicated its strategies to balance the impending rise in labor costs. This is a result of the newly signed contracts with the United Auto Workers and Canadian unionized workers, which are expected to increase expenses by $1.5 billion in the coming year, scaling up to $2.5 billion by the year 2027. These figures surpass the projections of industry analysts.

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