Seasonal workers at Michigan's Stellantis factory face job losses
In a surprise move, automotive giant Stellantis has announced layoffs for nearly 200 union-affiliated workers at the Sterling Heights Assembly Plant in Michigan. The layoffs, confirmed by Stellantis in an email to Automotive Dive, affect 177 seasonal supplemental employees and 14 full-time union workers.
The news was shared with UAW Local 1700 members in a letter, which was later posted on Facebook. The union, caught off guard as the plant is currently adding jobs, immediately challenged this decision and sent the details to the International Union.
The union's fear from the start was that the rehiring of supplemental workers could lead to termination without notice or valid reason. The letter from UAW Local 1700 states that the layoffs affect 191 union-affiliated workers in total.
Stellantis justified the layoffs, stating that they were a result of 'continued intense external market conditions' while trying to keep vehicles affordable. The automaker emphasized that the two actions were taken for different reasons.
The first action involves the separation of seasonal supplemental employees, effective October 1, in accordance with the 2023 UAW collective bargaining agreement. The second action, set to take effect on an unspecified date, involves the layoff of 14 full-time union workers due to alleged violations of company policies. These layoffs are scheduled to take effect on October 1, 2025.
The workers were informed of the layoffs via a sudden 'robocall.' The union has expressed concern that termination could occur at any time upon the acceptance of the position, and it could be done without any notice or valid reason.
Stellantis is continuing to take actions to improve operations across its facilities, including ongoing assessments of manufacturing processes to improve efficiency. The company did not provide further details on these improvements or how they relate to the layoffs.
