Behind General Motors’ $30m Kansas Upskilling Investment

In Kansas, US, a General Motors (GM) EV factory in Fairfax is set to begin producing ICE vehicles. 

Following a US$30m investment, the plant will also manufacture the gas-powered Equinox and a next-generation Buick compact SUV. 

As both EV and ICE technologies advance, the company is looking to upskill its workforce. 

The investment in Fairfax will prepare the workers for advanced manufacturing techniques across ICE and EVs. 

This is in addition to US$5.5bn in wider manufacturing investments.

The decline of EVs 

While EV sales are up in Asia and Europe, 2025 marked the first year sales of battery electric vehicles in the US have declined.

In the US, both the New Clean Vehicle and Qualified Commercial Clean Vehicle tax credits for purchasing or leasing electric vehicles expired in September 2025.

The expiration of these tax credits has impacted the sales of both luxury and non-luxury battery electric vehicles. 

Because of this decrease in sales, some companies are looking back to ICE vehicles. 

In 2025, GM says it had the industry’s second highest EV sales.

“Demand for our brands and products is strong at every price point, and we are well‑positioned to build on this momentum in the year ahead,” says Duncan Aldred, Senior VP and President of North America at GM. 

Why GM is investing in the local workforce

Manufacturing is at the centre of the US economic agenda with a shortage of skilled workers. 

The National Association of Manufacturers Q4 2025 outlook survey saw more than half of manufacturers report attracting and retaining a quality workforce as a top challenge.

In 2024, GM said it contributed nearly US$50bn billion directly to the US GDP, which is more than a quarter of the auto industry’s total contribution.

To overcome these challenges, GM has invested US$500m in US manufacturing apprenticeships and upskilling programs in the past five years. 

Investing in people

The Fairfax Assembly Plant in Kansas City has been prominent in the area since 1946. 

Michael Youngs, GM’s Fairfax Plant Director and a third generation employee, says: “For us, this work is more than building vehicles – it’s building a legacy. 

“General Motors has been a place where families grow their careers across generations, including my own.

“The investment in people isn’t just about preparing for the production of new vehicles; it’s about giving our people the opportunity to build a future their families can be proud of.”

GM trains roughly 2,500 employees per year in advanced manufacturing, electrification and emerging technologies at its Technical Learning University in Warren, Michigan. 

It also provides up to $8,000 in tuition assistance for employees seeking support over their long-term careers.

In the past five years, it has invested more than US$66m invested in higher education to help thousands of employees pursue certificates and degrees. 

Manufacturing jobs of the future

According to the National Institute of Manufacturers, employment in the sector increased in January 2026, up 5,000 employees from December.

Many in the manufacturing industry fear changes from AI and automation, but with many planning significant investments it looks likely future generations will be working alongside more robots. 

Carolyn Lee, President and Executive Director of the Manufacturing Institute said in an episode of McKinsey Talks Talent: “Manufacturers need to be driving the conversation, not waiting for the workforce ecosystem to arrive at their door. 

“We need to be front and centre, helping describe these opportunities and combating fears, including the assumption that AI will replace workers. 

“Jobs will change, but workers will remain. We need to help people understand which skills they need to attain to make sure those jobs endure.”