Steel frames are taking shape on the General Motors and Samsung SDI plant in New Carlisle, Indiana, but activity has quieted on the multibillion-dollar battery cell plant as construction enters a slower phase.
Barton Malow, the general contractor on the project, detailed the personnel reductions in the following statement.
“We can confirm that we recently had to lay off some of our workforce on the New Carlisle, Indiana, project,” the firm said in a statement sent to Construction Dive. “As the largest trade contractor in the state of Michigan, layoffs are an unfortunate part of the natural ebb and flow of the construction business.”
The temporary reductions marks the latest shift for one of the Midwest’s largest construction starts this year. Two buildings for the GM and Samsung SDI battery cell factory, valued at $875 million and $855 million, were among the largest U.S. projects to break ground in April, according to Dodge Construction Network.
GM and Samsung SDI originally selected the northern Indiana site in mid-2023 and expected to begin production in 2026. The companies ultimately intend the more than $3 billion joint venture facility to produce nickel-rich prismatic and cylindrical battery cells, which will help the automaker reach its goal of producing 1 million electric vehicles annually in North America.
But Barton Malow now faces a period of recalibration as the project’s overall pace adjusts. Before the layoff announcement, crews onsite had already completed major steel work, according to news site GM Authority.
Though certain aspects of the project remain ongoing, part of the work has been paused as Samsung reviews design modifications for its production line equipment, said Bill Schalliol, director of economic development for St. Joseph County, Indiana. While that process takes time, Barton Malow has redeployed some of its workforce to other jobsites, he said.
Schalliol added GM expects construction to be complete by December 2027.
Many large manufacturing and clean-tech builds have slowed this year amid shifting incentives and market conditions. That’s left contractors and manufacturers reassessing schedules and workforce needs.
For example, battery maker Kore Power halted construction on its $1.25 billion Arizona facility after not receiving funds from an $850 million conditional U.S. Department of Energy loan. In Ohio, chip manufacturer Intel also delayed work on its Ohio One semiconductor complex due to rising costs and weaker demand.
Nevertheless, in the statement, Barton Malow signaled work on the Indiana site would move forward and that displaced workers could eventually return as construction activity ramps back up.
“We recognize the impact it has on our team members and their families,” Barton Malow said in the statement. “[We] commit to supporting them through this transition and working to get them back onto this or another project shortly.”