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Steel frames are taking shape at the General Motors and Samsung SDI plant in New Carlisle, Ind., but activity has slowed at the multimillion-dollar battery cell plant as construction enters a slower phase.
Barton Malow, the project’s general contractor, detailed the staff reductions in the statement below.
“We can confirm that we recently had to lay off some of our workforce at the New Carlisle, Indiana project,” the company said in a statement sent to Construction Dive. “As the largest commercial contractor in the state of Michigan, layoffs are an unfortunate part of the natural ebb and flow of the construction business.”
The temporary reductions mark the latest change for one of the Midwest the biggest construction starts this year. Two buildings for the GM and Samsung SDI battery factory, valued at $875 million and $855 million, were among the largest projects in the U.S. in April, according to the Dodge Construction Network.
GM and Samsung SDI originally selected the northern Indiana site in mid-2023 and were expected to begin production in 2026. The companies ultimately intend to more than $3 billion joint venture facility to produce prismatic and cylindrical nickel-rich 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 overall pace of the project adjusts. Prior to the layoff announcement, on-site crews had already completed great steel workaccording to news site GM Authority.
While certain aspects of the project remain ongoing, some work has stopped while Samsung reviews design modifications to its production line equipment, said Bill Schalliol, economic development director for St. Louis County. Joseph, Indiana. While that process takes time, Barton Malow has redeployed some of its workforce to other jobs, he said.
Schalliol added that GM expects construction to be complete by December 2027.
very large manufacturing and cleantech builds have slowed this year amid changing incentives and market conditions. This has left contractors and manufacturers reassessing themselves work schedules and needs.
For example, battery maker Kore Power stopped building its own $1.25 billion Arizona facility after failing to receive funds from an $850 million US Department of Energy conditional loan. In Ohio, chipmaker Intel also delayed work Ohio A semiconductor complex due to rising costs and lower demand.
However, in the statement, Barton Malow noted that work at the Indiana site would move forward and that displaced workers could return as construction activity picks 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 during this transition and working to get them back to this or another project shortly.”
