UAW union president Shawn Fain criticized Stellantis for the recent job cuts, which came less than a year after the union had secured a new long-term contract with the automaker led by CEO Carlos Tavares. It is worth noting that, in addition to the layoffs that occurred a few weeks ago, Stellantis had already announced at the end of March that it would be laying off 400 white-collar workers in the United States.
Stellantis is facing criticism from the UAW union
Stellantis has recently laid off 199 full-time workers at its US plant where the Ram 1500 is produced, cut 400 jobs in engineering, technology and software in March, and will also reduce its workforce in Italy by 8%.
“Stellantis is pathetic,” Fain said in a recent Facebook meeting with UAW members. “Honestly, the leadership is pathetic. There’s a CEO across the ocean who wants to talk about how costs need to be cut and all that stuff, but that didn’t stop him from giving himself a 56% pay raise.”
The UAW has criticized Carlos Tavares’ hefty salary and is particularly angry with Stellantis for laying off many temporary workers. It is worth noting that the automaker typically uses these temporary employees to fill in for absences or calls them in when a plant needs more workers for a short period of time.
In addition to the United States, Stellantis is also facing several challenges in Italy, including recent staff cuts and a decline in production at Italian plants, including the Mirafiori plant where Fiat 500e and Maserati models are produced. The reason is a drastic drop in demand for these models. This situation has generated controversy and concern about the future of Stellantis workers globally. It remains to be seen whether the criticism will subside in the coming months or, on the contrary, increase further with future layoffs.