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Stellantis offers voluntary buyouts to 33,500 US employees
https://www.whatjobs.com/news/usa/us-business-news/stellantis-offers-voluntary-buyouts-to-33500-us-employees
By Nithya Bose in US business news, posted April 27, 2023
The company is offering the buyout to 31,000 hourly workers with at least one year of service and 2,500 salaried, non-union staff with 15 or more years of employment.
The company is also extending buyout offers to select employees in Canada but didn't reveal the exact number.
Stellantis said: “In response to today’s increasingly competitive global market conditions and the necessary shift to electrification, Stellantis is thoroughly reviewing its North American operations to improve efficiency, reduce costs and protect the competitiveness of our products to allow for further strategic investments to support our transformation.”
The buyouts are the most recent layoffs in the automotive sector.
Following performance-related cuts, General Motors offered buyouts to the majority of its salaried employees early this year.
About 5,000 GM salaried staff chose the buyout program offered to most of its 58,000 corporate employees.
Ford Motor also recently announced substantial layoffs throughout Europe.
Stellantis also shut down a Jeep facility in Illinois earlier this year, placing around 1,200 workers on indefinite layoffs.
Those workers were promised to be prioritized for required roles left through buyouts.
Union-represented employees will get two distinct offers based on their seniority.
It includes $50,000 for pension-eligible employees hired before a contract agreement with the United Auto Workers union in October 2007.
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The other buyout program will be offered to employees with at least one year of service, with payouts dependent on years of service.
A local UAW unit said Stellantis intends to remove around 3,500 skilled and production positions as part of the voluntary offer.
Shawn Fain, president of the United Auto Workers, termed the company's plans to cut its hourly workers, even through voluntary buyouts, a "slap in the face."
A company spokeswoman didn’t comment on whether the automaker plans to execute involuntary job cuts if not enough employees take the buyouts.
Source: CNBC
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