El Financiero en línea Chrysler Group, an affiliate of German automaker DaimlerChrysler AG, announced Wednesday it planned to reduce 16 percent of its workforce, slashing 13,000 jobs. Chrysler said the elimination of employment positions is part of a massive restructuring plan to aimed at making it profitable again during 2008. In a communique issued Wednesday, ChryslerDaimler said it was also looking at more strategic options for Chrysler, while the automaker trims production and changes its ability to manufacture more fuel efficient vehicles.
You mean to tell me that US auto companies are that bad in general, that even the German parent company of Chrysler can’t fix it? I’ve said it before and I’ll say it again. Detroit is paying for years of customer abuse with lackluster designs, quality and catering to ExxonMobile and the like. Even factoring in the $2500 per vehicle due to excessive labor, pension and health costs, the vehicles still do not compare to vehicles coming from the east.
As far as the newly 13,000 laidoff workers, I’m sure over time they will be fine as Toyota and Honda are expanding in the US. They’ll get to work for better managed companies, with better environmental values and employee appreciation. Hang in there folks.