Major Workforce Reduction at SK Battery America
In a significant development for the electric vehicle (EV) industry, SK lays off nearly 1000 workers at its battery manufacturing facility in Commerce, Georgia. The layoffs affected 958 employees, representing nearly 37% of the plant’s total workforce. According to a Worker Adjustment and Retraining Notification (WARN) filed by the company’s human resources chief, Chuck Moore, on March 6, 2026, marked the final working day for the impacted employees.
Although the workers have stopped working, the company confirmed they will continue receiving pay and benefits until May 6, 2026. After the layoffs, the workforce at the facility will decrease from roughly 2,500 employees to around 1,600 workers.
A $2.6 Billion Investment Faces Market Reality
SK Battery America launched its $2.6 billion battery plant in January 2022 in Commerce, Georgia. The facility quickly became a critical part of the U.S. EV supply chain. One of its most notable clients was Ford, which used SK’s batteries in its F-150 Lightning electric pickup truck.
However, market conditions have changed significantly in recent months. As a result, SK lays off nearly 1,000 workers to adjust production levels and align operations with current market demand.
Cooling Demand in the U.S. EV Market
One of the main reasons behind the job cuts is the slowing growth of electric vehicle adoption in the United States. In 2025, EVs accounted for only about 8% of total new vehicle sales, falling short of industry expectations.
The situation worsened when Ford announced in December 2025 that it would cancel the fully electric version of the F-150 Lightning, which significantly reduced battery demand for SK’s Georgia plant. This shift in automaker strategy directly impacted SK’s production volume and contributed to the decision to reduce staff.
Policy Changes Affecting the EV Industry
The layoffs also come amid policy shifts in the United States. Recent federal decisions have moved away from strong support for electrification. Changes include the removal of consumer EV tax credits worth up to $7,500 and a move toward more relaxed automotive emissions standards.
These policy adjustments have created uncertainty in the EV sector, contributing to slower investment and production growth. Consequently, SK lays off nearly 1,000 workers as part of broader industry adjustments.
SK’s Future Plans and Strategic Pivot
Despite the layoffs, SK Battery America emphasized that it remains committed to its U.S. operations and the state of Georgia. The company is now exploring opportunities in the Battery Energy Storage System (BESS) sector, which focuses on storing renewable energy for grid use.
The company is also actively pursuing new customers to utilize its manufacturing capacity. In addition, SK continues to move forward with major expansion projects, including a second battery plant in Bartow County, Georgia, and another facility in Tennessee.
While the layoffs mark a challenging moment, the company hopes its strategic shift will stabilize operations and position it for future growth. As the EV market evolves, companies like SK are adapting their strategies to navigate changing demand and policy landscapes.
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