Stellantis: The automaker’s history, legacy
Explore the history of Stellantis, the automotive giant formed in 2021 through the merger of Fiat Chrysler Automobiles and PSA Group.
- The Stellantis voluntary buyout offer comes as the automotive industry deals with potential headwinds.
- It’s not clear how many employees will be allowed to take the deal.
Stellantis is offering voluntary buyouts to hourly UAW employees at more than 20 Detroit and Toledo area manufacturing facilities and Mopar locations.
The locations include Sterling Heights Assembly Plant, Warren Truck, Detroit Assembly Complex, Toledo Assembly Complex, Chelsea Proving Grounds and CTC facilities.
The automaker, which owns the Jeep, Ram, Chrysler, Dodge and Fiat brands, is offering lump sum payments for employees with at least one year of service, according to a copy of the offer letter obtained Thursday by the Free Press.
Payments range from $50,000 for workers with at least one year of seniority but less than 15 years to $72,000 for workers with 25 years or more seniority. The offer also includes six months of medical benefits, excluding dental.
The offer, which is active from March 24 to May 8, stipulates that management will choose who can take the buyout. Some employees will be able to leave immediately, following a seven-day revocation period, but others might remain until Sept. 30.
More: Stellantis’ ex-CEO had total compensation of more than $24M last year
It wasn’t clear how many workers the company might be targeting.
Spokespeople for both the UAW and Stellantis have been asked for comment.
More: Stellantis says UAW members could see $3,780 profit-sharing checks, a big drop from 2024
Stellantis had faced criticism for rounds of job cuts last year at its U.S. facilities, and the automaker had a challenging 2024, dealing with issues ranging from lower sales to high inventories. It also saw the exit of former CEO Carlos Tavares and is searching for a new CEO. More recently, the narrative around the company had been more positive as it adjusted its vehicle pricing, became more assertive with its marketing and lowered its inventories.
However, the threat of tariffs and uncertainty in the market is raising a host of new challenges and potential headwinds for Stellantis and the rest of the automotive industry.
Contact Eric D. Lawrence: elawrence@freepress.com. Become a subscriber. Submit a letter to the editor at freep.com/letters.
This is a developing story.
