Stellantis to Offer Buyouts to Employees

May 1, 2023
Stellantis cites electric vehicles and a competitive market as the reason for offering buyouts to workers, drawing criticism from auto worker union groups.

Stellantis is offering buyouts to workers in an effort to reduce its workforce, Rockford Register Star reports.

According to the manufacturer, they are making the cuts as a result of “increasingly competitive global market conditions and the necessary shift to electrification.” It aims to let go of 3,500 hourly workers and hasn’t detailed the number of salaried workers that will leave.

The buyouts will be offered to “white-collar and unionized employees in the U.S.” and hourly employees in Canada. Of their 56,000 American workers, 33,000 could be offered a buyout–31,000 of them blue-collar workers and 2,500 salaried employees.

Packages will be offered to some salaried workers who have been employed for at least 15 years. Starting May 1 employees will be given more information on the packages. 

The United Auto Workers union’s new President, Shawn Fain, expressed harsh disapproval of the move. 

“Stellantis' push to cut thousands of jobs while raking in billions in profits is disgusting,” Fain stated. “This is a slap in the face to our members, their families, their communities, and the American people who saved this company 15 years ago.”

The United Auto Workers and Canadian auto worker union Unifor are expected to engage in “contentious contract talks” with Stellantis, Ford, and General Motors over the summer. UAW contracts will expire in September.

About the Author

NOLN Staff Reporters

The NOLN staff reporters cover the quick maintenance industry every day, from top to bottom. For news inquiries, please contact [email protected].