Stellantis Offers Buyouts To UAW Workers At 20 Sites

In a move aimed at streamlining operations, Stellantis is offering voluntary buyouts to hourly United Auto Workers (UAW) members at more than 20 manufacturing and Mopar locations across the Detroit and Toledo areas.

According to a company letter obtained by the Detroit Free Press, the buyout offer is available to employees with at least one year of service, with payments ranging from $50,000 for those with 1-15 years of seniority to $72,000 for those with 25 years or more. Additionally, workers who accept the offer will receive six months of medical benefits, though dental coverage is excluded.

Facilities included in the buyout program range from Sterling Heights Assembly Plant (SHAP), Warren Truck Assembly Plant (WTAP), the Detroit Assembly Complex – Jefferson (DACJ), Detroit Assembly Complex – Mack (DACM), Toledo Assembly Complex, Chelsea Proving Grounds, Chrysler Technical Center (CTC), and various Mopar distribution locations.

Buyouts Are Limited and Not Guaranteed – 

While the offer period runs from March 24 to May 8, not every employee who applies will be approved. Stellantis will determine who can take the buyout, with some employees able to leave immediately after a seven-day revocation period, while others may need to remain until September 30.

It’s unclear how many employees the company aims to cut, but this comes as Stellantis continues to navigate industry challenges, including rising vehicle inventories, fluctuating sales, and potential new tariffs.

Stellantis has been under pressure since layoffs and job cuts in 2023, and the automaker has been adjusting its business strategy, including revised vehicle pricing, aggressive marketing efforts, and inventory reductions. The company is also still searching for a new CEO following the departure of Carlos Tavares.

Both Stellantis and the UAW have been asked for comments regarding the buyout plan.