Written by / Zhang Ou
Editor/ Zhang Linyu
Design / Shi Yuchao
Source:Chicago Tribune/WSWS/Auto News by Robert Channick/Shannon Jones
In March 2022, stellantis Group announced plans for further layoffs at its Belvedere assembly plant in Illinois, USA.
According to group data, the Jeep Cherokee produced at the plant sold 89,126 vehicles in 2021, down 34 percent from the previous one. Sales lags have made it even more embarrassing for already supply-hit factories, which have cut their workforce by 70 percent over the past three years.
After the announcement of the massive layoffs at the Belvedere assembly plant, Stellantis auto workers learned that the main detroit factory would also be laying off employees. The list includes the Stirling Heights Assembly Plant (SHAP), jefferson Northern Assembly Plant (JNAP), Warren Press, and Sterling Press Plant.
The succession of bad news has put more pressure on workers, who are even more upset by concerns about their future lives, given the loose pandemic measures, sluggish markets and rising prices in the United States.
The Stellantis Group declined to say how many workers were about to be abandoned.
Jeep Cherokee produced at the Belvedere assembly plant
From Illinois to Detroit
Since 2019, through a series of layoffs, the sprawling plant has shrunk from more than 5,000 workers to about 1,600.
In 2019, the factory cancelled the third shift, and nearly 1,400 workers were laid off.
In 2021, the plant was essentially closed from March to October due to a shortage of semiconductors. When production resumed in November, the Belvedere plant was reduced to just one shift, leaving about 2,100 employees.
As demand for the Cherokee continued to disrupt production due to falling demand from the Cherokee and continued shortages of semiconductors, Stellantis further cut 400 hourly workers in January 2022.
In the first quarter of 2022, the plant was shut down for nearly 40 percent of the time, and by March 21, after resuming production, only about 1,600 workers remained.
It seems that every time the work is stopped, some workers will quietly "evaporate" from the factory.
On March 26, Stellantis spokesman Jodi Tinson said in a statement: "The purpose of the layoffs is to help the company operate its plants in a more sustainable way. ”
The latest round of layoffs will be achieved through a combination of retirement options, hourly cuts, and salaried workers to eligible UAW workers. Stellantis notified affected employees, Illinois, Belvedere, and UAW on March 28.
Layoffs could begin as early as May 27, 2022, with retirement taking effect on May 31, 2022.
Belvedere Assembly Plant, Illinois
（图源：Scott Olson/Getty Images）
According to an internal memo circulating on Facebook, Stellantis is discussing cutting jobs at the Sterling Heights assembly plant by the end of 2022, which is expected to be as many as 900, and laying off 500 jobs after structural adjustments to the Jefferson North assembly plant in May.
A UAW memorandum from the Warren press plant announced that an unknown number of indefinite layoffs would be made on April 17, while 98 workers at the Stirling press plant had already been laid off at the end of March.
Stellantis' clear goal is to consolidate production and cut costs while trying to fill inventory depleted by production interruptions. Many higher-paying full-time workers will also be affected, including senior employees who have been working at Belvedere as early as the mid-1990s.
The UAW, which has represented workers' interests as a core philosophy, also shows no signs of opposing layoffs.
Aim the muzzle of cost-compressing at grassroots workers
The ongoing chip shortage has raised costs, but the Stellantis Group still generated a profit of up to $15.2 billion in 2021, nearly three times the combined 2020 Fiat Chrysler Automobiles and Peugeot Citroën (Stellantis was restructured from these two companies).
In the first quarter of 2022, a shortage of spare parts caused production delays, with sales down 14 percent, but the company's U.S. sales executive believes the outlook is positive and strong consumer demand for cars can bring confidence to the production woes.
Stellantis, like other auto giants around the world, is engaged in a fierce competition with electrification at its core, facing a large capital demand to develop electric vehicle production systems, while also dealing with supply chain chaos caused by multiple factors.
In this case, Stellantis opted for a slightly brutal, large-scale regroupment campaign, aiming the muzzle of cost reduction at the workers.
According to UAW's letter, the group aims to reduce Belvedere's workforce to 600 people, which is less than half of what it is today. Instead of opposing the layoffs, UAW made false assurances to workers that "the redundancy could be reversed through negotiations with Stellantis' chambers."
Workers at the Stirling Heights assembly plant
(Source: Stellantis)
At the Stirling Heights assembly plant, workers even experienced forced overtime. From September to December 2021, they were forced to work 90 days straight to make up for lost production during the chip shortage. The plant produces dodge ram light trucks, one of Stellantis' most profitable models.
The realignment of the Jefferson North Assembly Plant involved the temporary dismissal of up to 4,800 temporary/full-time workers.
Full-time Stellantis workers are eligible for supplementary unemployment benefits during the adjustment period, capable of filling most of the difference between regular wages and state unemployment benefits. However, temporary workers receive meager state unemployment benefits, less than half of their normal wages.
The reasons for the layoffs at the Jefferson North Assembly Plant did not specify the reason, but UAW and Stellantis agreed to launch a new work plan, including two shifts and a six-day work week, once the plant resumes operations. The previous schedule was for three shifts, each 40 hours per week.
Angry workers
A worker at Jefferson's North Assembly Plant said: "We weren't told anything when we left with a shutdown, the news was all told through social media. What's even stranger is that they've been posting news of upcoming job fairs on their Facebook pages. ”
Stellantis and other automakers have been talking about the difficulty of hiring and the difficulty of retaining temporary workers. Supplementary temporary workers, on the other hand, start at just $15.78 an hour and face irregular work schedules. These workers also have no job protection, and the call comes and goes, and the company has almost no cost.
He continued: "No one gave us a reason why we should change to two shifts. My understanding is that we need to work 9 to 10 hours, 6 days a week. With fewer people completing the same work plan, this is more beneficial to the company. ”
According to an internal memo from the Stirling Stamping Plant, 461 temporary layoffs continued in the first week of April, in addition to the 98 people who had already been laid off. One worker said UAW was helping companies win workers over to see if anyone would accept voluntary departures.
A veteran worker at the Belvedere plant told WSWS (Professional Auto Workers Media) that workers were extremely disappointed that the information at the factory was opaque. "We don't know anything, it's really bad. Because of this, rumors are rife. He said.
He went on to reveal the changes in early retirement benefits: "The number the company is currently giving is fundamentally insulting — $25,000, like a joke. We used to get $70,000 and a car ticket, which was $60,000 two years ago. Okay, now we're only worth $25,000. ”
Prices, including food and gasoline prices, are surging and people's living standards are being tested. As a result, the news of the layoffs coming at this time made the workers even more angry.
At the end of June 2021, UAW lifted the mask mandate for auto factory workers
The epidemic has also entered a new round of climax. The UAW has previously eliminated the requirement to wear masks, and the scale of testing has shrunk dramatically to the point where it is almost impossible to properly track the number of infections.
Workers at the Warren Stamping Plant said: "This epidemic with no end in sight is really serious. People are dying non-stop, out of control. ”
Workers at stirling's stamping plant are also extremely dissatisfied with the handling of the epidemic: "Now that no masks are allowed, how can they protect the safety of their employees?" "Since 2020, the plant has had at least five outbreak-related deaths.
Stellantis is steadily moving forward with these layoff plans because they know that the UAW will not object at all. The agency has long functioned as a tool for corruption in the management of car companies, and workers cannot be expected to fight for their own interests.
The Two Heavens of Ice and Fire: The CEO's Tens of Millions of Salaries
Ironically, on April 13, news came about the income of Stellantis CEO Tang Weishi.
According to Reuters, given that the ongoing French election mainly involves the cost of living, Tang Weishi's 2021 salary has caused some union outrage on this day.
Stellantis announced Tang Weishi's 2021 salary in the official financial report: 19 million euros. The group's minority shareholder, investment firm Phitrust, said in a press release that Tang Weishi's compensation of about 19 million euros in 2021 will be increased to a stock plan worth 32 million euros and about 25 million euros of long-term compensation, with a total compensation package of 66 million euros.
Including Tang Weishi, the remuneration report of Stellantis' senior management was opposed by more than 52% of shareholders at the group's annual meeting on April 13, including the French government.
However, according to the laws of the Netherlands, the country where Stellantis is located, the vote will not affect the implementation of the 2021 compensation plan.
A stellantis spokesperson disputed Phitrust's proposal of 66 million euros, saying it was misinformation: "The actual compensation in 2021 is about 19 million euros." The rest are long-term hypothetical factors until 2028. ”
Stellantis CEO Tang Weishi▼
The French government holds a 6.15 percent stake in Stellantis Group through state-owned bank BPIFrance, and Government spokesman Gabriel Attal said at a news conference that the figures were "abnormal" and raised the need for more regulation. BPIFrance was also one of the shareholders who voted against the compensation package.
Jean-Pierre Mercier, a representative of the French CGT, used harsher terms, calling the pay package "unethical and offensive." Christine Virassamy, a representative of the French Federation of Democratic Labour (CFDT), similarly urged politicians to take urgent measures to limit executives' salaries.
Automotive News Europe calculates that if he achieves all the goals of the compensation incentive and plan, he will be entitled to more than 220 million euros by 2026.
To put it more, Tang Weishi's salary in 2021 is likely to make him the highest-paid automotive CEO in Europe. (Note: The title image is from WSWS Media)
This article was originally produced by Automotive Business Review
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