Even in an era full of Detroit layoffs, Stellantis’ surgical strategy became the stuff of legend. The automaker declared “a mandatory remote work day” for a huge group of its salaried U.S. employees on March 22, 2024. Coming out of the COVID quarantine era, they may not have been especially nervous. But they should have been. The automaker fired 400 engineers and software designers.

Security didn’t have to worry about escorting angry employees from the building, and HR didn’t have to worry about anyone leaving with intellectual property. And they didn’t need to look anyone in the eye while firing them. It was effective—but downright cold.

Stellantis is a multinational company, the product of a 2021 merger between Fiat Chrysler Automobiles and the Peugeot Group. It’s headquartered in Amsterdam.

A mechanical engineer called March 22 “a mass firing of everybody that was on the call.” The same source said the automaker was trying to outsource a “ton” of those positions to India, Mexico, and Brazil.

The automaker was quick to say it only laid off about 2% of its salaried U.S. workforce. But in hindsight, it let so many of its engineers and software designers go that it crippled its ability to design new vehicles for the U.S. market.

Stellantis does an about-face on the U.S. market

Stellantis recently announced it’s investing $13 billion in a U.S. “comeback.” It plans to retool factories and hire engineers to develop new models exclusively for its U.S. brands.

Investors nod and smile. The U.S. is, after all, the second-largest automotive market in the world (after China). American buyers love large, expensive trucks and SUVs. Sam Fiorani, VP of AutoForecast Solutions, told NBC, “The American side is Stellantis. It’s where the profits come from, and it supports virtually every other region. And [ex-CEO] Tavares didn’t get that.”

After the March 2024 layoffs, Stellantis systematically canceled many of its entry-level U.S. models. Want a Jeep? You can’t get a Renegade, Cherokee, or Wagoneer anymore—so consider a $65,000 Grand Wagoneer. Want a Dodge? The Charger and Challenger were axed for over a year, and your only V8 option is now a Durango. Want a Ram? The budget-friendly Ram Classic is gone too.

The company also saved a ton of money by laying off engineers and slowing the development of new products.

In the conglomerate’s first year, it tripled profits for all its brands. They jumped again the next year—and the next. But consumers are finally over it, and Stellantis lost $2.7 billion in the first half of 2025.

When you lose that much, your shareholders demand an about-face. Stellantis has changed leadership, announced a major turnaround, and will be hiring engineers to develop four new or redesigned U.S. models. I wonder if it’s conducting interviews remotely—or inviting engineers back into the office?

You can see NBC’s deep dive into the new Stellantis strategy in the video embedded below: