Report: Chrysler to close 8 plants, expects to keep all employees

According to documents filed in the U.S. Bankruptcy Court in New York, Chrysler is planning to close eight of its U.S. plants by December 2010; however, pending its alliance with Fiat SpA, Chrysler expects to keep all of its employees.

Spokesman Dianna Guiterrez told Automotive News that “any employee displaced by the bankruptcy will be given an opportunity at other Chrysler facilities.” She said that the alliance with Fiat could add about 5,000 additional employees.

On the closing list, Chrysler has three component plants including Detroit Axle, Twinsburg Stamping in Ohio and Kenosha Engine in Wisconsin. Assembly plants in St. Louis and Delaware have already been idled.

– By: Omar Rana