Chrysler’s parent company, Stellantis, will lay off up to 2,450 factory workers at its Warren Truck Assembly Plant outside Detroit as production of the Ram 1500 Classic truck ends.
The company said the job cuts will take effect as early as Oct. 8 as the plant’s general assembly operations move from two shifts to one. Production of the Jeep Wagoneer at the plant will remain on a two-shift system.
With production of the Ram 1500 Classic ending later this year, the company is shifting its focus to the Ram 1500 Tradesman truck, which is built at its Sterling Heights assembly plant.
“We’re introducing the all-new 2025 Ram 1500 Tradesman with incredible value and content. An upgraded electrical architecture delivers new technology that lends itself to better tracking capabilities and improved safety systems for commercial vehicle fleets,” a company spokesperson said.
The plant employs about 3,700 workers who are members of the United Auto Workers union. Stellantis confirmed that those who are being laid off will receive 52 weeks of supplemental unemployment benefits and 52 weeks of transition assistance from the company. They will also receive two years of health insurance.
The UAW reached a new labor agreement with Stellantis last fall after a historic six-week strike.
Stellantis said last week it would offer a new voluntary retirement plan to salaried U.S. employees, the latest in a series of cost-cutting measures being implemented by Chief Executive Officer Carlos Tavares at the company’s U.S. operations.
During the company’s investor briefing in June, Tavares pointed to weaknesses in at least two U.S. factories but did not name them.
