• Nov 4, 2009
The Detroit Free Press is reporting that Chrysler is again offering early retirement packages in an effort to entice some of its 23,000 hourly employees to hit the road. The buyout packages are the first offered by post-bankruptcy Chrysler, though the terms of the buyouts are very similar to earlier offerings. The Freep is reporting that all workers with at least one year of service can walk away from their current job and receive $75,000 plus a $25,000 voucher. Those who wish to participate in this program will also continue to receive health benefits for an additional six months with the option to purchase coverage for a year after that.

Retirement-eligible workers age 55-59 with a combined 85 years of service or workers age 60 or older with at least 10 years of service can receive $50,000 plus a $25,000 voucher. A third package for workers between the ages of 55 and 62 with at least 10 years of service can receive immediate full retirement benefits. The workers have two weeks to decide whether or not to take the buyout/retirement packages, as the offer will be pulled from the table November 13.

Chrysler's newest buyout program comes as many facilities across the country are either closing or have already closed. Without a jobs bank to keep paychecks coming, we're guessing the take rate could be substantial in affected areas.

[Source: Detroit Free Press | Image: Bill Pugliano/Getty]


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  • 21 Comments
      • 5 Years Ago
      Forgive my ignorance, but a voucher for what?
        • 5 Years Ago
        Thanks. That does sound a little familiar.

        I suppose if they're bitter toward Fiat/Chrysler, they could sell it on the street for $20K.
        • 5 Years Ago
        I'm guessing Chrysler isn't expecting many of those vouchers to be redeemed...

        If you actually know how badly the car is made, why would you get one?
        • 5 Years Ago
        It's actually a voucher towards the purchase of a new vehicle as I recall. So $25,000 towards a new Chrysler.
      • 5 Years Ago
      Much better than being fired.
      • 5 Years Ago
      $75,000 + $25,000 to walk away from an assembly plant job after only a year of working there? Man, I'm in the wrong business.
        • 5 Years Ago
        Am I missing something here or is this a "take it and run like you stole it" kinda deal? I mean what the hell?
      • 5 Years Ago
      That guys mustache matches his frown. Now THAT'S awesome.
      • 5 Years Ago
      Howabout offering some healthy food and a gym membership instead? I'm just going off this photo...
      • 5 Years Ago
      Retirement-eligible workers age 55-59 with a combined 85 years of service...

      What??? How old are these guys?
        • 5 Years Ago
        40 years working the line feels like 85.
        • 5 Years Ago
        >> Retirement-eligible workers age 55-59 with a combined 85 years of service

        It's badly worded. I believe it means workers whose age + years of service = 85 or more. Example: age 57, worked for Chrysler for 28 years = 85.
        • 5 Years Ago
        Considering how well-made the cars are it's not surprised dead people are making them!
      • 5 Years Ago
      Am I missing something or does it make no sense that this article claims that every employee who has been there for at least 1 year that retires early gets $100k, but those who are closer to retirement and have been with the company longer only get $75k?
        • 5 Years Ago
        Great article, AB.... :eyeroll:
        • 5 Years Ago
        Sounds backward, doesn't it? I suspect they feel the near-retirees have less to lose. They should be better prepared.

        It's Italian logic.
        • 5 Years Ago
        It looks like the ones closer to retirement get benefits, where the 1 year people get 6 months of health insurance, then nothing. See below for the difference between the others. One is early retirement with full benefits and no buyout, the other is a buyout and earned benefits to date. I still don't get the 85 year bit though.

        "$50,000 and the $25,000 vehicle voucher, as well as their earned pension benefits."

        "For workers between 55 and 62, and at least 10 years with Chrysler, there is a special early retirement program that provides full pension benefits, based on years of service, but no lump-sum payment or vehicle voucher."
        - from the freep article.
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