General Motors (GM) has announced that it is ceasing operations at its Arizona IT Innovation Centre at the end of October this year.

The closure will result in 940 job cuts as the company plans to streamline operations.

GM said that during the consolidation at its three US IT facilities in Michigan, Georgia, and Texas, approximately 80 to 90 employees will be retained in Arizona.

“Today we announced the difficult decision to cease IDT (information and digital technology) operations at the Arizona IT Innovation Centre at the end of October,” wrote GM's vice president of Information and Digital Technology Stacy Lynett, in a company-wide email obtained by the Detroit Free Press.

“This decision was not an easy one, but it will help to optimise our innovation centre footprint and gain the efficiencies and effectiveness we need to have to continue to support the company.”

According to the email, employees who have lost their jobs can apply for openings within the company and outplacement support will be provided.