A powertrain for a vehicle includes a housing, a motor generator unit, a torque converter, a first and second shafts, a first and second gear sets, and a torque transmitting mechanism. The motor generator unit includes an output member. The torque converter includes a pump and a turbine. The pump is connected for common rotation with the output member of the motor generator unit. The first shaft rotatably is supported by the powertrain housing and is connected for common rotation with the turbine of the torque converter. The second shaft is rotatably supported by the powertrain housing and disposed parallel to the first shaft. An output gear is connected for common rotation to the second shaft.