Company laying off 400 white-collar workers

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Stellantis announced Friday it was cutting 400 jobs in its engineering, technology and software divisions as of March 31, but not in Canada.

The layoffs represent about two per cent of its U.S. workforce in those divisions. The company confirmed the laid off workers are mainly at the company’s North American headquarters in Auburn Hills, Mich., which is also home to a large technical centre.

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The job cuts will have no impact on Stellantis’s Canadian production plants at Windsor and Brampton nor will any job losses occur at its Windsor Automotive Research and Development Centre.

The research and development centre is currently undergoing a 100,000-square-foot expansion. Stellantis has added about 650 engineers at the Windsor research site, designating the facility as one of its key North American battery research hubs.

“As the auto industry continues to face unprecedented uncertainties and heightened competitive pressures around the world, Stellantis continues to make the appropriate structural decisions across the enterprise to improve efficiency and optimize our cost structure,” the company said in a statement.

“While we understand this is difficult news, these actions will better align resources while preserving the critical skills needed to protect our competitive advantage as we remain laser focused on implementing our EV product offensive.”

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Stellantis will roll out eight new electric vehicles in North America in 2024, including the Windsor-built Dodge Charger Daytona and Scat Pack models. The company will introduce 18 new EV models globally.

Stellantis reported last month it had a net profit of just over $27 billion for 2023.

The U.S. cuts come after Stellantis CEO Carlos Tavares warned during his earnings presentation of a turbulent year for the auto industry.

In the past year, Stellantis offered 6,400 voluntary buyouts to its salaried, non-unionized workforce. It has also cut hundreds of temporary part-time employees in the U.S. in the past five months.

dwaddell@postmedia.com

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