A look at GM's contribution to the American economy

2023-08-08


Oxford Economics recently published their June 2023 study, â€˜The Economic Impact of General Motors in the U.S.’ The study highlights how GM, as the largest automotive manufacturer in the U.S.1, plays an integral role in the American economy by generating jobs, spurring investment and creating revenue. As a result of the over 5.9 million vehicles manufactured by the dedicated GM workforce, our company directly created over $39.2 billion worth of American GDP in 2022 and one quarter of all the GDP generated by U.S. automotive manufacturers. In total, our economic footprint is greater than the economies of 13 U.S. states combined1.

This study comes at a time when the automotive industry is facing issues of supply chain disruptions, inflation and increasing capital costs. Even so, GM has successfully adapted and emerged as the largest automotive manufacturer in the U.S. in 2022 and positively impacted the American economy, both nationwide and in the local communities of our 120 facilities.

A coast-to-coast impact

In 2022, GM employed over 97,000 workers in the U.S., accounting for nearly 10% of the U.S. automotive manufacturing labor force. At the same time, the average total compensation was approximately 39% higher than the average for transportation manufacturing workers and 69% higher than the compensation of the average U.S. worker. It’s because of our strong and committed workforce that GM can make such a positive impact, which is why GM is dedicated to investing in our employees. In 2022, we financed over 1.6 million hours of training opportunities for our employees at a value of $140 million. 

GM’s impact spreads far beyond the automotive industry with a strong multiplier effect. GM’s U.S. supply-chain expenses have an enormous benefit to numerous sectors of the economy, with financial impacts totaling approximately $44.1 billion. The multiplier effect is significant in the labor force as well, with a job multiplier of 7.3. This means that for every individual GM directly employs, 6.3 additional jobs are supported in other industries in the U.S.

Though the economic benefit of GM is seen nationwide, we are proud of the local impact that our team members create in the communities they live. In 2022, team members volunteered over 158,000 hours of their time and donated $5.1 million to nonprofits across the nation.

Investing in manufacturing skills in Indiana and Ohio

Heading just south of our home state of Michigan, GM also has several facilities in Indiana and Ohio.

In total, GM-supported tax revenue in Indiana amounted to over $791 million in 2022, enough to fund the salaries for 25% of the state’s public-school teachers! Our impact was felt across the labor force as we invested more than $115 million locally and supported 29,820 total jobs through our economic activity in the state of Indiana. On top of this, GM announced $536 million worth of investment commitments in our Indiana manufacturing plants.

GM’s facilities in Ohio directly employ over 4,500 people, but our economic activity in the state helps support a total of 51,760 jobs. In Ohio, GM’s impactful local spending means that for every individual GM directly employs, there are an additional 10.3 jobs supported elsewhere in the state’s labor force. In keeping operations local, GM spent more than $4.6 billion with Ohio-based suppliers. Additionally, we locally invested around $390 million in 2022, as well as a commitment of $760 million to prepare Toledo Propulsion Systems to produce electric vehicle drive units.

The investments in our facilities require an investment in our people and the future generations that will help shape the world of manufacturing. Keeping up with training and skills needed is essential and that’s why we’ve made a special grant of $600,000 to the American Association of Community Colleges (AACC) to study and share best practices for expanding advanced manufacturing credentialing programs around the country. Ivy Tech Community College in Indiana and Owens Community College in Ohio were two of the seven colleges that received a portion of the grant amounting to $40,000 each to expand efforts and leverage local programs into national networks.

Expanding manufacturing education programs in Kansas and Missouri

In the middle of the country, GM has two of our largest assembly plants — Fairfax Assembly and Stamping in Kansas, and Wentzville Assembly in Missouri.

In Kansas, our operations produced a total GDP impact of $919 million and $137 million in tax receipts. Above and beyond these contributions, GM’s presence in the state helped to support 4,430 total jobs in 2022, with approximately 2,180 of those state-wide jobs belonging directly to GM employees.

In Missouri, Wentzville Assembly directly employed 4,170 workers in 2022. Across the state, GM proudly supported 15,560 total jobs. In addition to the significant impact on the labor force, GM’s operations in Missouri supported a total GDP contribution of $3.0 billion across the state in 2022.

Advances in manufacturing require an investment in our people and the future generations that will help shape the world of manufacturing. Keeping up with training and skills needed is essential, and that’s why we’ve made a special grant of $600,000 to the American Association of Community Colleges (AACC) to study and share best practices for expanding advanced manufacturing credentialing programs around the country. St. Charles Community College in Missouri and Johnson County Community College in Kansas were two of the seven colleges that received a portion of the grant amounting to $40,000 each to expand efforts and leverage local programs into national networks.

Improving community-centric spaces in Kentucky, Tennessee and Texas

Continuing south, GM has significant manufacturing plants in Kentucky, Tennessee and Texas.

In Tennessee, GM contributed $3.3 billion to the state’s GDP in 2022, along with $595 million in supported tax revenue. The tax revenue alone is enough to fund salaries for 17% of the state’s public school teachers. Additionally, GM’s Spring Hill Manufacturing site and Memphis Distribution Center directly employ 3,840 workers across the state.

GM’s impact in Kentucky during 2022 totaled to $1.7 billion in GDP contributions, $326 million in tax receipts, and 13,540 supported jobs through direct, indirect, and induced economic channels. Home to the Bowling Green Assembly plant and 1,420 direct GM employees, our company also invested $58 million in Kentucky during 2022.

As Texas’ Arlington Assembly is crucial to GM’s operations, building our entire portfolio of full-size ICE SUVs, we are proud of the impact we have in the state. GM’s activities in Texas supported over $1.4 billion in tax revenue for all levels of government in 2022, enough to fund the salaries for more than one in 15 Texas public school teachers. Over $72 million was invested in Texas in 2022, helping to support a total of 49,000 jobs statewide, with 9,680 individuals directly employed by GM.

We are proud of the number of team members that we have within the communities we operate and work in to support their lives beyond work hours. Arlington was one of the recipients this year of the Project for Public Spaces’ Community Placemaking Grant. Awarded by Project for Public Places and GM, the $75,000 grant is designed to bring community-driven physical and programmatic improvements to public spaces where GM employees live, work and play.

Arlington was built alongside a railroad, serving as its hub for transportation and commerce. While the Union Pacific Railway still maintains an active daily route through the city’s center, only remnants remain of the station platform that once welcomed people. Today, with the student population of the University of Arlington doubling in just the last 15 years, and several new high-profile developments and businesses in downtown Arlington, areas for active green space and pedestrian living are vital for the future of Arlington.

Providing STEM learning opportunities to kids in Michigan

Home to GM’s headquarters, Michigan is expected to continue to see significant benefits due to our company’s presence in the state. In 2022, GM directly employed over 55,000 individuals and other operations, supply chain, capital investments, and wage induced spending channels supported over 260,000 jobs across the state, that’s more than 5% of Michigan’s entire labor force. As the birthplace of GM, our company has a strong commitment to Michigan and invested $4.2 billion in capital improvements in the state in 2022. Additionally, nearly $4.6 billion of investment commitments were announced for manufacturing operations in Michigan moving forward. As an integral part of Michigan’s economy, GM supported $49 billion of the state’s GDP, or 8.4% of the state’s economy, in 2022. This means that for every $1 spent, our company created $12 worth of value that benefits the people of Michigan.

The value that our team brings to Michigan extends beyond our economic impact, with the workforce completing volunteer projects that are vital to the community. In late 2022 and early 2023, team members hand delivered copies of CeCe Loves Science, a book that aims to promote STEM education to children in our communities. This was made possible through a grant GM provided to First Book, a nonprofit working to promote educational equity for children living in low-income communities.

In Detroit, volunteers delivered nearly 4,000 books to more than 80 schools so that every second-grade student in the Detroit Public Schools Community District was able to receive a book.

GM works to bring programs to youth across the country who may not otherwise have access to robust STEM learning opportunities. These amazing experiences would not be possible without the time and dedication of our employees. They have helped to create meaningful, personal moments for students that will help inspire them as they continue their academic journeys.

Supporting small businesses in New York

Heading up to the northeast, GM has a strong presence with a propulsion plant and two component plants in New York.

GM is proud to support 25,560 total jobs through our operations and supply chain contributions in The Empire State in 2022. The New York tax revenue produced by GM in 2022 supported economic activity amounting to $991 million, enough to fund the salaries for 5% of public-school teachers in the state. Additionally, GM announced an investment commitment of $154 million in its Lockport Operations plant to prepare the plant to build a critical EV component.

We are proud of the number of team members that we have within these communities and work to support the communities they live in. In 2022 we donated $1.1 million to New York nonprofits anticipated to impact 30,812 individuals through corporate grants, community impact grants and charitable sponsorship.

As a part of these grants, we partnered with community development non-profit LISC WNY to provide $150,000 in small business grants as well as customized support and technical assistance to 13 Black owned and led businesses. These grants assist under-capitalized Black businesses by helping them scale their capital to grow their operations and position themselves as leaders in the region’s in-demand industries.

Looking ahead

In 2022, GM invested $5.6 billion into capital improvements, manufacturing production capacity and cutting-edge R&D. The investments had significant benefits felt across the American economy, as Oxford Economics estimates that they supported 39,240 jobs and nearly $4.9 billion in GDP for the year. More importantly, they also help to ensure that our economic impact continues to be beneficial for years to come, supporting American auto manufacturing as we continue our transition to an all-electric future.

American labor force

Oxford Economics recently published their June 2023 study, ‘The Economic Impact of General Motors in the U.S.’ The study highlights how GM, as the largest automotive manufacturer in the U.S., plays an integral role in the American economy by generating jobs, spurring investment and creating revenue. As a result of the over 5.9 million vehicles manufactured by the dedicated GM workforce, our company directly created over $39.2 billion worth of American GDP in 2022 and one quarter of all the GDP generated by U.S. automotive manufacturers. In total, our economic footprint is greater than the economies of 13 U.S. states combined.

This study comes at a time when the automotive industry is facing issues of supply chain disruptions, inflation and increasing capital costs. Even so, GM has successfully adapted and emerged as the largest automotive manufacturer in the U.S. in 2022 and positively impacted the American economy, both nationwide and in the local communities of our 120 facilities.

A coast-to-coast impact

In 2022, GM employed over 97,000 workers in the U.S., accounting for nearly 10% of the U.S. automotive manufacturing labor force. At the same time, the average total compensation was approximately 39% higher than the average for transportation manufacturing workers and 69% higher than the compensation of the average U.S. worker. It’s because of our strong and committed workforce that GM can make such a positive impact, which is why GM is dedicated to investing in our employees. In 2022, we financed over 1.6 million hours of training opportunities for our employees at a value of $140 million. 

GM’s impact spreads far beyond the automotive industry with a strong multiplier effect. GM’s U.S. supply-chain expenses have an enormous benefit to numerous sectors of the economy, with financial impacts totaling approximately $44.1 billion. The multiplier effect is significant in the labor force as well, with a job multiplier of 7.3. This means that for every individual GM directly employs, 6.3 additional jobs are supported in other industries in the U.S.

Though the economic benefit of GM is seen nationwide, we are proud of the local impact that our team members create in the communities they live. In 2022, team members volunteered over 158,000 hours of their time and donated $5.1 million to nonprofits across the nation.

Click a state to learn more about GM's Impact

General Motors Employees holding AACC Grant Check.

Investing in manufacturing skills in Indiana and Ohio

Heading just south of our home state of Michigan, GM also has several facilities in Indiana and Ohio.

In total, GM-supported tax revenue in Indiana amounted to over $791 million in 2022, enough to fund the salaries for 25% of the state’s public-school teachers! Our impact was felt across the labor force as we invested more than $115 million locally and supported 29,820 total jobs through our economic activity in the state of Indiana. On top of this, GM announced $536 million worth of investment commitments in our Indiana manufacturing plants.

GM’s facilities in Ohio directly employ over 4,500 people, but our economic activity in the state helps support a total of 51,760 jobs. In Ohio, GM’s impactful local spending means that for every individual GM directly employs, there are an additional 10.3 jobs supported elsewhere in the state’s labor force. In keeping operations local, GM spent more than $4.6 billion with Ohio-based suppliers. Additionally, we locally invested around $390 million in 2022, as well as a commitment of $760 million to prepare Toledo Propulsion Systems to produce electric vehicle drive units.

The investments in our facilities require an investment in our people and the future generations that will help shape the world of manufacturing. Keeping up with training and skills needed is essential and that’s why we’ve made a special grant of $600,000 to the American Association of Community Colleges (AACC) to study and share best practices for expanding advanced manufacturing credentialing programs around the country. Ivy Tech Community College in Indiana and Owens Community College in Ohio were two of the seven colleges that received a portion of the grant amounting to $40,000 each to expand efforts and leverage local programs into national networks.


General Motors Employees holding AACC Grant Check.

Expanding manufacturing education programs in Kansas and Missouri

In the middle of the country, GM has two of our largest assembly plants — Fairfax Assembly and Stamping in Kansas, and Wentzville Assembly in Missouri.

In Kansas, our operations produced a total GDP impact of $919 million and $137 million in tax receipts. Above and beyond these contributions, GM’s presence in the state helped to support 4,430 total jobs in 2022, with approximately 2,180 of those state-wide jobs belonging directly to GM employees.

In Missouri, Wentzville Assembly directly employed 4,170 workers in 2022. Across the state, GM proudly supported 15,560 total jobs. In addition to the significant impact on the labor force, GM’s operations in Missouri supported a total GDP contribution of $3.0 billion across the state in 2022.

Advances in manufacturing require an investment in our people and the future generations that will help shape the world of manufacturing. Keeping up with training and skills needed is essential, and that’s why we’ve made a special grant of $600,000 to the American Association of Community Colleges (AACC) to study and share best practices for expanding advanced manufacturing credentialing programs around the country. St. Charles Community College in Missouri and Johnson County Community College in Kansas were two of the seven colleges that received a portion of the grant amounting to $40,000 each to expand efforts and leverage local programs into national networks.


Union Pacific Railway tracks in Arlington, Texas.

Improving community-centric spaces in Kentucky, Tennessee and Texas

Continuing south, GM has significant manufacturing plants in Kentucky, Tennessee and Texas.

In Tennessee, GM contributed $3.3 billion to the state’s GDP in 2022, along with $595 million in supported tax revenue. The tax revenue alone is enough to fund salaries for 17% of the state’s public school teachers. Additionally, GM’s Spring Hill Manufacturing site and Memphis Distribution Center directly employ 3,840 workers across the state.

GM’s impact in Kentucky during 2022 totaled to $1.7 billion in GDP contributions, $326 million in tax receipts, and 13,540 supported jobs through direct, indirect, and induced economic channels. Home to the Bowling Green Assembly plant and 1,420 direct GM employees, our company also invested $58 million in Kentucky during 2022.

As Texas’ Arlington Assembly is crucial to GM’s operations, building our entire portfolio of full-size ICE SUVs, we are proud of the impact we have in the state. GM’s activities in Texas supported over $1.4 billion in tax revenue for all levels of government in 2022, enough to fund the salaries for more than one in 15 Texas public school teachers. Over $72 million was invested in Texas in 2022, helping to support a total of 49,000 jobs statewide, with 9,680 individuals directly employed by GM.

We are proud of the number of team members that we have within the communities we operate and work in to support their lives beyond work hours. Arlington was one of the recipients this year of the Project for Public Spaces’ Community Placemaking Grant. Awarded by Project for Public Places and GM, the $75,000 grant is designed to bring community-driven physical and programmatic improvements to public spaces where GM employees live, work and play.

Arlington was built alongside a railroad, serving as its hub for transportation and commerce. While the Union Pacific Railway still maintains an active daily route through the city’s center, only remnants remain of the station platform that once welcomed people. Today, with the student population of the University of Arlington doubling in just the last 15 years, and several new high-profile developments and businesses in downtown Arlington, areas for active green space and pedestrian living are vital for the future of Arlington.


General Motors Employee reading CeCe Loves Science in front of classroom to elementary school students.

Providing STEM learning opportunities to kids in Michigan

Home to GM’s headquarters, Michigan is expected to continue to see significant benefits due to our company’s presence in the state. In 2022, GM directly employed over 55,000 individuals and other operations, supply chain, capital investments, and wage induced spending channels supported over 260,000 jobs across the state, that’s more than 5% of Michigan’s entire labor force. As the birthplace of GM, our company has a strong commitment to Michigan and invested $4.2 billion in capital improvements in the state in 2022. Additionally, nearly $4.6 billion of investment commitments were announced for manufacturing operations in Michigan moving forward. As an integral part of Michigan’s economy, GM supported $49 billion of the state’s GDP, or 8.4% of the state’s economy, in 2022. This means that for every $1 spent, our company created $12 worth of value that benefits the people of Michigan.

The value that our team brings to Michigan extends beyond our economic impact, with the workforce completing volunteer projects that are vital to the community. In late 2022 and early 2023, team members hand delivered copies of CeCe Loves Science, a book that aims to promote STEM education to children in our communities. This was made possible through a grant GM provided to First Book, a nonprofit working to promote educational equity for children living in low-income communities.

In Detroit, volunteers delivered nearly 4,000 books to more than 80 schools so that every second-grade student in the Detroit Public Schools Community District was able to receive a book.

GM works to bring programs to youth across the country who may not otherwise have access to robust STEM learning opportunities. These amazing experiences would not be possible without the time and dedication of our employees. They have helped to create meaningful, personal moments for students that will help inspire them as they continue their academic journeys.


LISC WNY Logo

Supporting small businesses in New York

Heading up to the northeast, GM has a strong presence with a propulsion plant and two component plants in New York.

GM is proud to support 25,560 total jobs through our operations and supply chain contributions in The Empire State in 2022. The New York tax revenue produced by GM in 2022 supported economic activity amounting to $991 million, enough to fund the salaries for 5% of public-school teachers in the state. Additionally, GM announced an investment commitment of $154 million in its Lockport Operations plant to prepare the plant to build a critical EV component.

We are proud of the number of team members that we have within these communities and work to support the communities they live in. In 2022 we donated $1.1 million to New York nonprofits anticipated to impact 30,812 individuals through corporate grants, community impact grants and charitable sponsorship.

As a part of these grants, we partnered with community development non-profit LISC WNY to provide $150,000 in small business grants as well as customized support and technical assistance to 13 Black owned and led businesses. These grants assist under-capitalized Black businesses by helping them scale their capital to grow their operations and position themselves as leaders in the region’s in-demand industries.


Looking ahead

In 2022, GM invested $5.6 billion into capital improvements, manufacturing production capacity and cutting-edge R&D. The investments had significant benefits felt across the American economy, as Oxford Economics estimates that they supported 39,240 jobs and nearly $4.9 billion in GDP for the year. More importantly, they also help to ensure that our economic impact continues to be beneficial for years to come, supporting American auto manufacturing as we continue our transition to an all-electric future.