Uh oh, Stellantis seems like it’s sinking into more trouble. It’s offering buyouts to UAW workers in 20 locations around Detroit and Ohio. Jeep and Ram will have a reduced workforce due to financial challenges and industry hardships. 

Stellantis offers buyouts to UAW workers in America 

In an attempt to cut costs and streamline operations, Stellantis is offering buyouts to hourly United Auto Workers (UAW) members at over 20 locations. 

The manufacturing locations for Jeep and Ram are located around Toledo, Ohio and Detroit, Michigan. Mopar plants are the main focus. 

According to the Detroit Free Press, Stellantis is offering lump sum payments for employees with at least one year of service. This information reportedly comes from a letter sent to workers. 

Payments of $50,000 are being offered to people with at least one year of seniority, but less than 15 years of service.Those with 25 or more years of service are being offered up to $72,000. The automaker is also provided six months of medical benefits, except for dental. 

The offer will be active between March 24 and May 8. However, Managed will choose who is eligible for the buyout. Some workers will be able to leave after seven days, but others could remain until September 30. 

It’s unclear how many workers are being targeted at Jeep, Ram, Fiat, Dodge, and Chrysler facilities. This decision comes as automakers face increasing challenges relating to vehicle inventories, fluctuating sales, and uncertainty due to potential new tariffs. 

Sales have been declining for Jeep, Ram, Dodge, and more as the company has been struggling to adjust its business strategy. This is far from its first round of layoffs since 2022.