UAW slams Stellantis over recent US layoffs, citing mismanagement

Francesco Armenio
UAW leader accuses Stellantis CEO Carlos Tavares of mismanagement and warns of possible strike action due to 1,000 new layoffs in Toledo.
Toledo stop production

Concern grows among Stellantis employees and UAW (United Auto Workers) representatives following the announcement of 1,000 layoffs at the Toledo, Ohio plant. This is just the latest announcement from the automotive group, which has been followed by thousands of other layoffs in this tragic 2024 for the automotive sector, but particularly for Stellantis.

UAW expresses concern over latest layoffs in the United States and accuses Stellantis of mismanagement

UAW on strike

Luigi Gjokaj, vice president of UAW Local 51, stated that this is a matter of mismanagement, adding that responsibility for these difficulties falls directly on Stellantis CEO Carlos Tavares. Gjokaj maintains that the company’s recent problems are caused by poor management decisions rather than unfavorable market conditions, as stated by the company last week.

Gjokaj explained that the approximately 4,000 planned layoffs in Michigan, Ohio, and Indiana are creating divisions within the union. He added that Stellantis is waiting to officially communicate its plan to the union, which makes it difficult to inform members about what is happening.

Stellantis Belvidere

“I believe the company is using this tactic to sow discord and discontent among members, to divert attention from the issue and always remember that the fault lies with the company,” Gjokaj stated.
Looking ahead, Gjokaj stated that the union is considering all available options to address the layoffs at Stellantis. “We’re exploring every possibility, including filing grievances, and if a strike becomes necessary, that’s a path we’ll take as well,” he said.

For quite some time, the UAW union has been fighting against the company for the reopening of the Belvidere plant, which was closed in early 2023. After a series of strikes last year that lasted several weeks, the automotive group committed to reopening it, but announced the postponement of the reopening several months ago due to “difficult market conditions”. We will see what other developments arrive in the coming weeks regarding this issue.