Stellantis Cuts 549 Temporary Jobs in U.S. Ahead of February Layoffs

By David Sachs

Stellantis is shedding 549 temporary, part-time jobs at its U.S. plants ahead of layoffs expected to start in February.

The Netherlands-based carmaker said Wednesday that it informed the affected employees at sites across the U.S. last week. Temporary workers typically fill in for others who take unplanned time off, or come on when the workforce needs a boost because of a new-model launch, for instance, the Jeep maker said.

"This action will help improve the efficiency, productivity and market competitiveness of our facilities as we implement our Dare Forward 2030 strategic plan," a Stellantis spokeswoman said.

Stellantis will also temporarily lay off around 2,250 employees from a plant in Turin, Italy, from Feb. 12 to March 3, it said Tuesday. The unions there blamed the cuts on low demand for the electric Fiat 500 and Maserati models, but the company would not confirm.

In December, the carmaker said it would cut possibly thousands of jobs at plants in Michigan and Ohio as early as Feb. 5, citing at that time setbacks, including from California emissions limits that dragged sales. The company lost 3 billion euros ($3.26 billion) in revenue from the strikes in the U.S. last year, it said.

The Detroit News first reported the latest job cuts.

Write to David Sachs at [e-mail]

(END) Dow Jones Newswires

January 17, 2024 10:26 ET (15:26 GMT)

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