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Chrysler is ahead of its own targets for its turnaround plan with the announcement that up to 1,100 salaried and 6,000 hourly workers have been cut from its workforce. This is only the first phase of job cuts in the three-year turnaround plan, which by 2009 will see Chrysler's workforce shrunk by 13,000 positions.

The announcement was made in an internal email that was sent to Chrysler staffers on Monday. In it, CEO Tom LaSorda assured staff that the reduction in employee numbers won't disrupt operations and we could see even more lay-offs very soon. An additional 400 blue-collar workers are still awaiting approval for applied buyouts or early retirement packages, but Chrysler spokesman Dave Elshoff said "there's no guarantee that they will be accepted this year."

These latest reductions leaves Chrysler with roughly 73,356 hourly and salaried employees all up, 100 less than what the turnaround plan stipulated for 2007. We hope the changes will make more than just a dent in rectifying the $680 million loss Chrysler suffered last year.

[Source: Detroit News]

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    • 1 Second Ago
      • 7 Years Ago
      More American jobs headed oversees! Supporting America once meant buying American. Now most people don't even consider what nation benifits from the products they buy. Most American flags are now made in China because we refuse to pay an extra $1 to support American jobs!
      • 7 Years Ago
      They are cutting staff thru layoff's and early retirements. I believe it's more early retirements than layoffs and that's why they are happy that they are ahead of schedule, becuase it's the early retirements that have them ahead of shcedule, not layoffs (I'm sure they are right on schedule).
        • 7 Years Ago
        Aren't early retirements killing the US auto industry? "Yay I'm retired, got a bunch of free time to really rack up those medical bills".
      • 7 Years Ago
      I fail to see this comment as something to be proud about, putting people on the street should make one feel very, very bad and embarrassed. They should be concentrating on regaining market share and developing new and cutting edge vehicles with the employees they currently employ, that my friend makes a great company. Slashing jobs takes no talent or intelligence.
      • 7 Years Ago
      "The bad news is you've got no job. But the good news is, we're ahead of schedule, so we're able to let you go three months early". WTF? Who let this news out? Are they proud of this or something? Did they try and sneak this in to beat the deadline for the Douchebag of the Year awards? Corporate America just leaps from the bizarre to the completely insane.
      • 7 Years Ago
      I've never realized it but I think the Chrysler logo would look good on a beer bottle! Or maybe it's just because it's quitting time...