In a letter to employees today, CEO Bob Nardelli announced that Chrysler will be cutting 25 percent, or more than 4,300, of its salaried work force starting next month. Nardelli said that the cuts will be made through involuntary layoffs as well as voluntary retirements or employee buyouts. The packages will include enhanced benefits, including both cash and new-vehicle vouchers.
“These are truly unimaginable times for our industry,” said Nardelli in the letter. “Never before have auto industry sales contracted at such a fast rate. Throughout this challenging time for our industry and our company, we have continued to face the realities of our business environment, and working as a team, we have been right-sizing our organization to become as competitive as possible.”
On a brighter side, or not so bright side depending on how you look at it, GM has reported ‘intensified’ talks to buy Chrysler’s auto operations from Cerberus Capital Management who owns the controlling share.
Guess they didn’t bother listening to Chrysler’s great-grandson and keep things quiet.