General Motors, which is currently aiming to go fully electric by 2030, is offering Cadillac dealerships a buyout if they aren’t interested in making the changes necessary to accommodate electric vehicles.
Mandated charging and service upgrades will total around $200,000, but GM has said it’s willing to give Cadillac dealerships up to $500,000 if they aren’t willing to invest in the company’s future as an electric vehicle brand.
The 880 Cadillac dealers in the U.S. will have until November 30 to decide whether or not to accept the buyout offer. Dealers who take the buyout will be able to acquire new Cadillacs through the end of 2021.
"We wanted to move fast and make sure dealers are ready for the acceleration," Cadillac North America Vice President Mahmoud Samara told Automotive News. "This is purely an option for those dealers who feel the EV journey is not suitable for them."
Last week, GM announced that it was expediting its shift to an all-electric future. The automaker plans to introduce 30 new models by the end of 2025. About half of the nation’s Cadillac dealers sell fewer than 50 vehicles each year.