Detroit, November 12: Stellantis layoffs reportedly continue as the automotive manufacturing giant faces intense market competition. The Netherlands-based company announced cutting jobs this year to cut the operation costs and reduce production to align with its projections about declining sales amid the rising threat of global competition.

This year, Stellantis conducted many layoff rounds, reducing its workforce and meeting its plans. Last week, the company reduced 1,100 workers from the Ohio Jeep Plant at Toledo amid taking further steps to cut inventory at dealerships, according to reports. The Toledo South Plant, manufacturing Jeep Gladiator, a mid-sized pickup truck, announced adopting only one shift, not two, starting from January 5, 2025. Nissan Layoffs: Japanese Automaker Laying Off 9,000 Employees To Reduce Cost, Cut Production Capacity by 20% After Poor Financial Performance.

Stellantis said that despite being a difficult decision, it had to take it for the company to reclaim its edge in the competition and take the production to the levels it had in the past. The Union Auto Worker union, representing the employees, would ensure that the laid-off individuals would receive a year's supplement payment. 

According to a new report by ET, Stellantis layoffs will continue and affect more than 400 people at the Detroit parts facility. The report highlighted that Donald Trump recently warned Stellantis that he would impose a 100% tariff on the company if it tried to move the jobs from the United States to Mexico. Volkswagen Layoffs: German Automaker VW To Slash Tens of Thousands of Jobs, Impose 10% Salary Cut As 3 Plants To Be Shut In Germany.

The company said its cost-cutting efforts were intensified and would realign with its US operations for a strong 2025. Besides laying off 1,100 employees on Wednesday last week, the automotive manufacturer had cut 2,450 unionised jobs at the Ram 1500 Classic Truck manufacturing facility in August 2024. The report said Stellantis reduced the salaried workers through voluntary buyouts and job cuts.

(The above story first appeared on LatestLY on Nov 12, 2024 01:26 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).