11/02/07

Chrysler Plans Big Model and Job Cuts

With contract negotiations behind it, Chrysler LLC has begun cutting jobs and trimming its bloated product line.

Chrysler LLC will eliminate up to 10,000 hourly jobs and cut four vehicles from its product line during 2008.

1,000 white collar jobs also are being axed, plus 37 percent of contract workers.

Overtime of any stripe is taboo.

These cuts are significant: 17% of the company's 57,000 union workers in the U.S. and Canada are going.

Chrysler will purge shifts at Belvedere IL Assembly, Jefferson North in Detroit, Toledo North, Brampton ONT, Sterling Heights MI, and a Detroit engine plant.

Chrysler will kill Dodge Magnum, PT Cruiser convertible, Chrysler Pacifica crossover-station wagon, and Crossfire roadster.

Dealers and UAW members were surprised by the depth and swiftness of the move. Regular readers here weren't.

Auto workers, many of whom recently voted for a tougher job security stance verses the company, expressed shock.

See my previous News-Blog post: 10/23/07 Opinion: Chrysler Belvedere Union Should Vote Yes.