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Over 1,500 Employees Take Early Exit From Stellantis In Italy

Comes On The Footsteps Of 400 U.S. Layoffs, Last Week...

Stellantis has announced that it has reached a voluntary agreement with Italian labor unions to cut at least 1,520 jobs in Italy.

The news comes just days after the automaker announced laying off 400 U.S. employees from its engineering, software, and technology divisions. Stellantis claims the moves are due to the automaker grappling with challenges posed by the shift towards electrification and changing consumer demands.

Alfa Romeo Giulia being assembled at the Cassino Assembly Plant. (Stellantis).

The announcements have been met with criticism as the automaker has made record profits in the past two years and is now facing pushback in sales in North America due to overpriced products and electric vehicles (EVs).

The bulk of the Italian job cuts, totaling around 1,520 positions, are concentrated in the Turin area, a region with historical significance in Italy’s automotive sector. Among those affected are 300 workers from the Mirafiori Assembly Plant and 733 office staff. Stellantis has offered these employees voluntary exit packages, including financial incentives, as part of the agreement reached with trade unions.

The Fiat 500e 3+1 at the Mirafiori Assembly Plant. (Stellantis).

The reduction in the workforce is not limited to Turin alone. Additional voluntary lay-off deals have been struck for up to 850 employees at the Cassino Assembly Plant and up to 100 workers at the engine-making facility in Pratola Serra, though the agreement for Cassino is still pending confirmation by Stellantis.

These job cuts represent a significant portion of Stellantis’ workforce in Italy, where the company employs approximately 43,000 people. The decision underscores the challenges faced by traditional automakers as they navigate the transition towards electric vehicles and adapt to changing market dynamics.

Maserati Levante production at the Mirafiori Assembly Plant. (Stellantis).

Stellantis has emphasized that these agreements are strictly voluntary and primarily targeted at employees nearing retirement age or those seeking new career opportunities. Nevertheless, the impact on the supply chain and the broader automotive ecosystem is expected to be significant, according to some trade union representatives who did not sign the agreement.

The reduction in output at facilities like the Mirafiori plant, where production has been scaled back due to weak demand for EVs like the Fiat 500e, further underscores the need for strategic adjustments within the company.

2024 Fiat 500e at the Mirafiori Assembly Plant. (FIAT).

Despite the job cuts in Italy and the U.S., Stellantis reaffirms the importance of both regions in its global operations. The company is engaged in discussions with the Italian government to boost annual vehicle output in the country, highlighting the ongoing collaboration between the automotive industry and public institutions.

As Stellantis CEO Carlos Tavares has indicated, Turin remains a vital hub for the company’s operations. However, challenges persist, and stakeholders are urged to accelerate efforts to revitalize facilities like Mirafiori and develop comprehensive strategies, such as the recent talk about cheaper Chinese-sourced EVs there.

Robert S. Miller

Robert S. Miller is a diehard Mopar enthusiast who lives and breathes all that is Mopar. The Michigander is not only the Editor for MoparInsiders.com, 5thGenRams.com, and HDRams.com but an automotive photographer. He is an avid fan of offshore powerboat racing, which he travels the country to take part in.

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Stellantis has announced that it has reached a voluntary agreement with Italian labor unions to cut at least 1,520 jobs in Italy. The news comes just days after the automaker announced laying off 400 U.S. employees from its engineering, software, and technology divisions. Stellantis claims the moves are due to the automaker grappling with challenges posed by the shift towards electrification and changing consumer demands. The announcements have been met with criticism as the automaker has made record profits in the past two years and is now facing pushback in sales in North America due to overpriced products and electric … (read full article...)

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It might work in Europe and Asia. It might be possible to offer 4 wheel drive as an option by using an electric motor to drive the rear wheels as in the Pacifica. In Australia the Renegade has been taken off the market because the Compass stole too many of its sales. Something smaller than Renegade may work. Small Suzukis have steady sales here.

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It might work in Europe and Asia. It might be possible to offer 4 wheel drive as an option by using an electric motor to drive the rear wheels as in the Pacifica. In Australia the Renegade has been taken off the market because the Compass stole too many of its sales. Something smaller than Renegade may work. Small Suzukis have steady sales here.

The Chrysler Pacifica’s AWD system – the first available in a Chrysler minivan since 2004 – uses mechanical and electronic technology proven durable and capable on FCA vehicles. In addition, the system was put through its paces, with more than 1 million customer-driven-equivalent miles of testing prior to introduction.

Key mechanical components of the Chrysler Pacifica AWD system include:

  • Power Transfer Unit (PTU): Splits torque from the nine-speed automatic transmission and routes it to the rear drive module
  • Three-piece Drive Shaft: Connects the PTU and the rear drive module. Even with the additional driveline components, the Chrysler Pacifica AWD retains its second-row Stow ‘n Go seating storage
  • Rear Drive Module: Houses electronically controlled wet clutch that manages torque to rear wheels; second-generation one-speed drive module optimized for weight and low-speed drag torque reduction

Other mechanical changes resulting in improved driving dynamics include the addition of a rear sway bar and revised tuning for the front and rear suspension. Ride height is increased 0.78 inches (20 millimeters).

Pacifica’s seamless, fully automatic AWD system is the only one in the segment capable of transferring 100 percent of the available engine torque to the rear wheels, or whichever wheels have more available traction. The Pacifica AWD system, the most capable AWD in the class, is also able to sense and stop the drive shaft from spinning when AWD is not required, a class-exclusive feature in the segment that improves efficiency.

The AWD system also employs a brake-lock differential system to help enhance traction, with fully automatic torque distribution between each wheel. If one wheel on an axle loses traction, the system applies the brake to the low-traction wheel, redirecting torque through the differential to the wheel with more traction. The 18-inch brake package for AWD features larger vented front and solid rear rotors and calipers with more capacity.

The AWD system engages automatically, based on a variety of sensor inputs that signal when enhanced traction is beneficial. For best traction performance, AWD is engaged when the Chrysler Pacifica begins to accelerate from a standing stop. Other inputs that signal AWD engagement include:

  • Cold exterior temperature
  • Use of windshield wipers
  • Slip detected at the front wheels
  • Heavy acceleration at certain vehicle speeds, such as overtaking during passing
  • Electronic stability control activation
  • Abrupt steering or sudden throttle inputs
  • Rough road conditions/grades

When the Chrysler Pacifica’s drivetrain detects that AWD is not needed, it disconnects the PTU and rear drive module automatically to stop the drive shaft from spinning, reducing driveline drag and improving efficiency.

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New Sub-Compact Jeep® To Join New FIAT & Alfa Romeo Vehicles:​

Should Be Based On The Compact Modular Platform (CMP)...​

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The Jeep® brand has been hinting for some time now, that it has planned on building a sub-compact model for certain markets outside North America beneath its compact Renegade model. Automotive News Europe is now reporting that the upcoming Jeep, will be one part of a trio of new vehicles going into production at the … (read full article...)

I just wish they would build a smaller pickup. Like a two-door with a 6-foot bed. I would buy that in a heartbeat

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