Stellantis Offers Buyout Package To Jeep, Dodge, And Chrysler Employees As It Looks To Trim Workforce

Oct. 31, 2022 8:40 AM ET by Jarryd Neves Industry News / 3 Comments

The automotive conglomerate is offering buyouts to certain salaried workers in the USA.

Stellantis has offered some of its 13,000 salaried workers in the US a buyout package, as it attempts to realign itself with coming priorities, reports CNBC. While the company continues to spew out heavy, gas-powered vehicles like the Jeep Grand Wagoneer L, it intends on pivoting toward software services and electromobility in the near future.

The buyout offer will allow the company to cut jobs and reshuffle its workforce.

"As part of our transformation to become a sustainable tech mobility company and the market leader in low-emission vehicles, in October we offered certain salaried US employees the option to voluntarily separate from the company with a favorable package of benefits that otherwise would not be available to them," said a spokeswoman for the automotive group.

While the company representative didn't say how many employees are entitled to the offer, Stellantis has said salaried individuals have to be at least 55 years old, employed by the company for 10 years, or have three decades of service and a pension.

Eligible employees have until December 5 to accept the buyout.

In recent months, Stellantis' US-based brands have announced a host of new electric vehicles. Jeep, for example, will launch the Recon (pictured below) in 2024. A succession of battery-powered Jeep SUVs will follow in due course, including the svelte-looking Wagoneer S.

Dodge also has plans to introduce an electric muscle car, while Chrysler is expected to replace the ancient 300 sedan with a modern, cutting-edge electric sedan. Ram will take the fight to the Rivian R1T and Ford F-150 Lightning with its much-anticipated 1500 EV.

The multinational automotive corporation isn't the only brand to employ a strategy like this. In August, Ford announced that 3,000 workers would lose their jobs as the company rejigged its structure. At the time, CEO Jim Farley and Executive Chairman Bill Ford sent a statement that read, "we are eliminating work, as well as reorganizing and simplifying functions throughout the business."

Not long before that, the Blue Oval announced it would cut a staggering 8,000 jobs as it looks to lead the electric vehicle segment. In February, Farley was quoted as saying "we have too many people." He added that the "management team firmly believes [the] ICE and BEV portfolios are under-earning."

As for the other major US carmaker, GM said it has no plans for any "major workforce reductions," the company has previously made substantial cuts.