General Motors president talks strong Q2 as contract negotiations with UAW ongoing

General Motors shared a largely positive second quarter earnings report with investors this week. The manufacturer says it generated roughly $45 billion in revenue from April through June — about $2 billion more than expectations.

A major focus for the Detroit automaker in recent years has been its push to adopt battery-powered cars and trucks. GM president Mark Reuss says the performance of electric vehicles in dealer showrooms has been in line with company expectations so far this year.

Listen: GM president Mark Reuss discusses shift to EVs and collective bargaining outlook

“We made our 50,000 unit first-half target for EVs,” says Reuss. “I think you’re going to see us hit our [2023] 100,000 target.”

The earnings report comes with the backdrop of collective bargaining, with contract talks currently underway between the United Auto Workers union and GM. Reuss says the car company is focused on negotiating a deal that’s good for workers.

“We have spent a lot of money in our facilities to make whatever plant or whatever facility we have the very best in terms of workplace of choice,” Reuss states.

On the other side of the bargaining table, union representatives are concerned about the impact of cost-cutting ambitions manufacturers have as they shift toward electric vehicles. General Motors told investors this week it hopes to reduce annual expenses by $3 billion in the coming years — $1 billion more than its previous goal.

The existing contracts between the UAW and Detroit’s automakers expire Sept. 14.