Stellantis to offer broad buyouts to U.S. salaried workers, warns of possible layoffs

DETROIT — Automaker Stellantis plans to once again reduce its U.S. employee headcount through a broad voluntary buyout, as the company attempts to reduce costs and boost profits. In an email to employees Tuesday morning, the company said it would offer a voluntary separation program to non-union U.S. employees at the vice president level “and below in
Stellantis to offer broad buyouts to U.S. salaried workers, warns of possible layoffs

DETROIT — Automaker  Stellantis plans to once again reduce its U.S. employee headcount through a broad voluntary buyout, as the company attempts to reduce costs and boost profits.

In an email to employees Tuesday morning, the company said it would offer a voluntary separation program to non-union U.S. employees at the vice president level “and below in certain functions.”

The company, which reported  disappointing first-half results last week, said if not enough employees participate in the buyout program, involuntary terminations could follow. The message said eligible employees will be sent an email in mid-August with instructions on how to access their individualized offers.

Stellantis confirmed the buyout program, which was first by  Automotive News, early Tuesday afternoon.

“As Stellantis continues to address inflationary pressures and, importantly, provide consumers with affordable vehicles at the highest quality, we remain focused on taking the necessary actions to reduce our costs to protect the long term sustainability of the company,” the company said in an emailed statement.

Stellantis CEO Carlos Tavares has been  on a cost-cutting mission since the company was formed through a merger between Fiat Chrysler and France’s PSA Groupe in January 2021. It’s part of his “Dare Forward 2030” plan to increase profits and double revenue to 300 billion euros by 2030.

The cost-saving measures have included reshaping the company’s supply chain and operations as well as earlier headcount reductions.

“With our commitment to executing our Dare Forward 2030 strategy, we must continue to adapt by streamlining operations and finding efficiencies that will enhance our competitiveness to ensure our future sustainability and growth,” the company said in the email Tuesday, which was viewed and verified by CNBC.

Several Stellantis executives previously described the earlier cuts to CNBC as difficult but effective. Others, who spoke on the condition of anonymity due to potential repercussions, described them as grueling to the point of excessiveness.

Tavares last week pushed back on the claim that the company’s massive cost-cutting efforts had created problems at the automaker.

“When you don’t deliver for any reason … you may want to use a scapegoat. The budget cut is an easy one. It’s wrong,” Tavares said.

Stellantis has reduced headcount by 15.5%, or roughly 47,500 employees, between December 2019 and the end of 2023, according to public filings. Additional job cuts this year involving thousands of plant workers the U.S. and Italy have drawn the ire of unions in both countries.

Stellantis last conducted a voluntary buyout program in November, offering the deals to roughly half of its U.S. white-collar employees.

,

Total
0
Shares
Leave a Reply
Related Posts
Judge in Trump’s civil fraud case says he won’t recuse himself over ‘nothingburger’ encounter
Read More

Judge in Trump’s civil fraud case says he won’t recuse himself over ‘nothingburger’ encounter

The New York judge who presided over Donald Trump’s civil fraud trial says he won’t step aside from the case, vehemently denying a claim that another lawyer had advised him ahead of the verdict Judge in Trump’s civil fraud case says he won’t recuse himself over ‘nothingburger’ encounterBy JAKE OFFENHARTZAssociated PressThe Associated PressNEW YORK NEW

Majority of Americans want troops sent to border, oppose illegal immigration: polls

Originally Published by: (The Center Square) – Polls are consistently showing two key indictments on the Biden-Harris administration border policy: Americans not only overwhelmingly oppose illegal immigration but also want troops sent to the southern border and the border secure. Two new recent polls support this trend, although polls have consistently shown that Americans overwhelmingly disapprove of
Kamala Harris Appearing On ‘RuPaul’s Drag Race’—Her First Big TV Event Since 2024 Run
Read More

Kamala Harris Appearing On ‘RuPaul’s Drag Race’—Her First Big TV Event Since 2024 Run

Forbes Business Breaking Kamala Harris Appearing On ‘RuPaul’s Drag Race’—Her First Big TV Event Since 2024 Run Molly Bohannon Forbes Staff Molly Bohannon has been a Forbes news reporter since 2023. Following Jul 25, 2024, 04:01pm EDT Share to Facebook Share to Twitter Share to Linkedin Topline A taped segment with Vice President Kamala Harris
IOC Forced to Issue Correction on President’s Biology Claims About Boxers Who Failed IBA Gender Test
Read More

IOC Forced to Issue Correction on President’s Biology Claims About Boxers Who Failed IBA Gender Test

The International Olympic Committee (IOC) was forced to issue a correction on Saturday after its president apparently spread false information about two boxing contestants who have been allowed to compete against female opponents despite allegedly having male chromosomes. In a press conference, IOC President Thomas Bach defended the Olympic participation of Imane Khelif, who defeated