Stellantis Goes Back On Ohio Plant Layoffs Which Were Set To Impact Nearly 1,100 Workers

Issuing a statement via email, a company spokesperson revealed that the firm has opted to not place any employees on indefinite layoffs from January 5, announced earlier as part of planned layoffs

The spokesperson informed that employees are expected to resume work as scheduled post the new year.

Source : Stellantis

Stellantis on Saturday said that it is reversing its decision to cut jobs for employees at its plant in Ohio. The automaker said that it is going back on its decision to layoff nearly 1,100 workers at the Ohio Jeep plant.

This announcement follows less than three weeks after the company’s CEO, Carlos Tavares, resigned abruptly, reported Reuters. Issuing a statement via email, a company spokesperson revealed that the firm has opted to not place any employees on indefinite layoffs from January 5, announced earlier as part of planned layoffs.

Rather, the firm will now extend worker adjustment and retraining notification notice, the statement said. The spokesperson informed that employees are expected to resume work as scheduled post the new year.

Notably, the board members found targets set by the firm unrealistic or even destructive, resulting in the exit of the chief executive, the report said citing sources in the know.

Last month, the company shared plans to cut down jobs for employees at its Toledo South Assembly plant to help enhance efficiency and cut down its inventory across the North American operations. The plant manfuactures the Jeep Gladiator.

 The firm has been struggling with falling sales in the North American region, which has been historically responsible for bringing major profits for the firm due to the sales of its popular Jeep and Ram vehicles.

The automaker has been emphasising on cost-cutting strategies under Tavares’ leadership. Recently, Stellantis said that 400 of its workers at a Detroit automotive parts facility will have to face the brunt of job cuts indefinitely. 

Notably, the firm’s layoffs among the manufacturing employees, which are represented by the United Auto Workers union, have been getting major attention from policymakers.