Group 1 Automotive, a Houston-based dealership group operating 143 U.S. dealerships, is cutting nearly 700 full-time employees, roughly 5% of its U.S. workforce. The company analyzed stores, markets, and headcounts to determine which positions to eliminate as part of a broader cost reduction initiative targeting $50 million in annual SG&A (selling, general, and administrative) savings.
Group 1 Automotive is one of the largest publicly traded auto dealership groups in the United States. The SG&A savings target signals that even well-capitalized dealership networks are tightening operations amid softening new vehicle margins and growing inventory pressures across the industry. The cuts come as the broader auto retail sector faces headwinds from elevated interest rates, cooling consumer demand, and a wave of tariff-driven price uncertainty.