[Source: Chrysler, The Detroit News, Photo by Bill Pugliano/Getty]
In response to the continuing global economic slowdown and auto industry contraction, as well as the market's continuing movement toward smaller vehicles, Chrysler LLC is announcing the elimination of one shift of production at its Toledo (Ohio) North Assembly Plant and the pull-ahead of the closure of the Newark (Delaware) Assembly Plant. The schedule change will adjust inventory to better match consumer demand.
"The markets are facing unprecedented turmoil and we are in a time of historic change in the auto industry," said Frank Ewasyshyn, Executive Vice President – Manufacturing, Chrysler LLC. "These tough, but necessary steps are vital to our long-term viability. However, these headwinds will not prevent Chrysler from aggressively pursuing its mission to respond to consumers with products they demand, like the all-new Dodge Ram, which was recently named 'Full-Size Pickup Truck of Texas'."
The shift reduction at Toledo North will be effective December 31, 2008, and will affect approximately 825 jobs. The closure of the Newark plant will also be effective December 31, 2008, and will affect approximately 1,000 jobs.
Chrysler is committed to working with the UAW to address the represented manpower reductions in a socially responsible manner. As the Company has done in the past, the UAW and management leadership will hold employee meetings to review special programs that will be offered at the affected locations.
Currently, the Toledo North Assembly Plant has approximately 2,100 employees and operates on two shifts, producing Dodge Nitro and Jeep Liberty. Employees are represented by UAW Local 12.
The Newark Assembly Plant builds Dodge Durango and Chrysler Aspen and has been operating on one shift since July 2006. Its idling was first announced in February 2007. Newark Assembly Plant currently has approximately 1,000 employees who are represented by UAW Locals 1183 and 1212.