Aug 9, 2024, 9:59 PM
Aug 9, 2024, 12:00 AM

Stellantis to Lay Off 2,450 Workers in Michigan

Tragic
Highlights
  • Stellantis to lay off 2,450 workers in Michigan as Ram Classic Truck production ends.
  • The layoff affects the Warren Truck assembly plant outside of Detroit.
  • Chrysler-parent Stellantis ends production of the Ram 1500 Classic truck.
Story

Chrysler parent company Stellantis has announced plans to lay off up to 2,450 factory workers at its Warren Truck assembly plant near Detroit, effective as early as October 8. This decision comes as the automaker phases out production of the Ram 1500 Classic truck, transitioning the plant from a two-shift to a one-shift operation for general assembly. However, production of the Jeep Wagoneer will continue on a two-shift schedule. As the Ram 1500 Classic production concludes, Stellantis is shifting its focus to the new Ram 1500 Tradesman truck, which is being manufactured at the Sterling Heights Assembly facility. A company spokesperson highlighted the 2025 Ram 1500 Tradesman’s enhanced electrical architecture, which introduces advanced technologies aimed at improving tracking and safety for commercial fleets. The Warren Truck assembly plant employs approximately 3,700 workers, all represented by the United Auto Workers (UAW) union. Laid-off union members will receive 52 weeks of supplemental unemployment benefits, transition assistance, and two years of healthcare coverage, as confirmed by Stellantis. This move follows new labor agreements established between the UAW and Stellantis after a significant six-week strike last fall. In addition to the layoffs, Stellantis is offering voluntary buyouts to its U.S. salaried workers as part of ongoing cost-cutting measures initiated by CEO Carlos Tavares. During a recent Investor Day, Tavares acknowledged operational weaknesses at several U.S. plants but did not specify which facilities were affected.

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