Stellantis Cuts Over 1,100 Jobs to Reduce Inventory Levels
- Stellantis is reducing its workforce by over 1,100 employees at its Jeep assembly plant in Ohio as part of inventory reductions.
- The layoffs begin January 5, 2025, during the company's transitional year focused on realigning U.S. operations.
- These job cuts are part of Stellantis's strategy to gain a competitive edge and eventually restore production levels.
Stellantis is implementing indefinite layoffs affecting more than 1,100 employees at its Jeep assembly facility in Toledo, Ohio, beginning January 5, 2025. This decision stems from the company's need to align inventory levels with market demand following a 27% decline in net revenues in the third quarter of 2024. The layoffs come as Stellantis embarks on a "transitional year," aimed at ensuring a strong operational start for 2025. The firm aims to reduce U.S. dealer inventories significantly and has already made considerable investments in the Toledo plants to enhance production capabilities over the last decade. After the layoffs, impacted workers will receive one year of supplemental benefits along with continued healthcare coverage for two years.