Stellantis announces MORE layoffs

[aldo98229]

This just never ends.

From the official PR piece:

“Stellantis is in full execution mode focused on both protecting the company from the continued intense external market conditions and, at the same time, offering customers vehicles they can afford. As such, we are continuing to take the necessary actions to improve operations across our facilities; this includes ongoing assessments of our manufacturing processes to improve efficiency. While that effort continues, the Company will be implementing indefinite layoffs of represented employees across its footprint.” ​

What a tone-deaf statement.

More here: https://www.clickondetroit.com/news...-uaw-workers-starting-oct-1-in-metro-detroit/

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[Pape]

They get hit in double, they are improperly positioned in the market for various reason and the economy is having issue for a while now and the effect are now getting feel.

 

[CT_LFC]

There was an article earlier this month that they wanted to burn down 100k cars out of inventory in N. America next year (I believe). That means they need to slow down production and won’t need as much labor.

Let the UAW layoffs begin.

 

[GATORB8]

Staying away from the political union topic, in my experience in union areas, the use of layoffs is strategic.

It appears to be less conducive for workers in Michigan, but in Illinois layoffs were done strategically and actually looked forward to by union workers. Illinois's max unemployment benefit is $787 a week (equivalent to $41k annual). Note, Unemployment is really employer sponsored insurance so the company pays into the system, not really the taxpayer.

Especially in construction, guys would take a layoff for the winter season and either take the time off or do cash side work to supplement.

 

[AcesandEights]

Union negotiations often impact people based on seniority, and the increases in benefits is equal to people with less seniority paying for those, often through layoffs. You get a 25% increase in salary, but in order to pay for that, there has to be fewer employees. Both the union and the manufacturer are "doing the math" to figure out how to afford the concessions being made. It's all part of the process, normal when talking about how to pay for the things provided for in the final contract.

Stellantis was able to "save" about 1,500 jobs by transitioning a plant to EV, and they have to lay off others.

As a union employee, you can't have your cake and eat it too.

 

[Sorbs]

I wonder how that UAW contract is working out? Seems to be working out as planned...

 

[JEEP4U]

Demographically speaking....... Stellantis bet on the wrong horse.

 

[RubiSc0tt]

should have stopped building $100k vehicles and trying to force upmarket. This is 100% on company leadership and their stupid decisions to build and keep selling $70k-$100k vehicles. very few people who are going to spend that aren't going to spend it on a Mopar product AND keep it long term.

If they aren't a collector, they're going to trade it on the next one and after quality is shit? They'll move on to luxury brands. And if they don't move on then, they definitely will after the dealer experience.

 

[JEEP4U]

should have stopped building $100k vehicles and trying to force upmarket. This is 100% on company leadership and their stupid decisions to build and keep selling $70k-$100k vehicles. very few people who are going to spend that aren't going to spend it on a Mopar product AND keep it long term.

If they aren't a collector, they're going to trade it on the next one and after quality is shit? They'll move on to luxury brands. And if they don't move on then, they definitely will after the dealer experience.

Hey..... But Stellantis Jeep had great margins while it lasted.

 

[SaintNick]

should have stopped building $100k vehicles and trying to force upmarket. This is 100% on company leadership and their stupid decisions to build and keep selling $70k-$100k vehicles. very few people who are going to spend that aren't going to spend it on a Mopar product AND keep it long term.

If they aren't a collector, they're going to trade it on the next one and after quality is shit? They'll move on to luxury brands. And if they don't move on then, they definitely will after the dealer experience.

Building $30K Wranglers that they sell for $70-100K

 

[CT_LFC]

should have stopped building $100k vehicles and trying to force upmarket. This is 100% on company leadership and their stupid decisions to build and keep selling $70k-$100k vehicles. very few people who are going to spend that aren't going to spend it on a Mopar product AND keep it long term.

If they aren't a collector, they're going to trade it on the next one and after quality is shit? They'll move on to luxury brands. And if they don't move on then, they definitely will after the dealer experience.

as ridiculous as it is that a 392 can cost $100K, that’s what the Braptor goes for as well. Even a new First Edition Land Cruiser starts at >$75K so prices are up everywhere in a heavily inflationary world.

Trying to become a luxury brand with the Wagoneer and Grand Wagoneer wasn’t on my bingo card, though. It just doesn’t compute with the Jeep brand.

 

[Deleted User 38384]

Building $30K Wranglers that they sell for $70-100K

Yeah and quality is just dropping off.

As much as I love the Jeep brand, I get the strange feelings Stellantis is going to be the one to kill it.

I heard they got spies everywhere, looking for any reason whatsoever to start denying your warranty claims.

They got to save money somewhere, a $3,000 warranty claim may not seem like a lot to a company that big, but they add up quick.

 

[JEEP4U]

Let me try to wrap this up for some folks:

Jeep has potential, but no pedigree. It never was the best of the best grade.....It's a Jeep folks...... with some luxury items added.

 

[CarbonSteel]

Hopefully, someone will buy the Jeep brand away from Stellantis and save it.

Stellantis is currently:

 

[CT_LFC]

Building $30K Wranglers that they sell for $70-100K

something tells me you have never seen a Stellantis Income Statement.

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