Stellantis announces layoffs of 2,450 workers at plant in US’ Michigan

(MENAFN) Stellantis, the multinational automotive conglomerate formed from the merger of Fiat Chrysler Automobiles and the French PSA Group, announced on Friday that it will be laying off 2,450 workers at its plant in Michigan. This reduction in workforce is directly linked to the end of Ram 1500 pickup production at the Warren Truck Assembly plant. The company has indicated that efforts will be made to redeploy many of the affected employees within Stellantis, aiming to mitigate the impact of these layoffs.

For those employees who will be indefinitely laid off, Stellantis has outlined a comprehensive support package. Affected workers will receive 52 weeks of supplemental unemployment benefits, funded by the company, along with an additional 52 weeks of transition assistance. This assistance is intended to complement any state unemployment benefits the employees might be eligible for. In addition, the company will provide two years of health care coverage to support the laid-off workers during their transition period.

The decision comes as Stellantis continues to adapt its production strategies and align with shifting market demands. Since its establishment in 2021, Stellantis has been navigating the complexities of operating 14 different automotive brands while striving to maintain its competitive position. Headquartered in the Netherlands, Stellantis was ranked fourth globally in automotive sales last year. This recent move reflects the company's ongoing adjustments to its manufacturing operations as it responds to changes in production needs and market conditions.

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