- Stellantis is reportedly offering UAW members buyouts of up to $72,000.
- Workers in Michigan, Ohio, and Illinois are eligible, but the payout varies.
- The automaker said the reductions are to improve efficiency and competitiveness.
A number of automakers are planning to trim their workforce and some are using generous financial incentives to get people to leave. The latest is Stellantis, which is reportedly offering some hourly employees buyouts worth up to $72,000.
While that pales in comparison to the six-figure payouts being offered by Mercedes, that’s still a considerable amount of money. That’s especially true if you were already thinking about retirement.
More: Mercedes Paying Employees Up To $540,000 To Quit
Auto News reports the company is offering buyouts at more than 20 facilities – ranging from assembly plants to parts distribution centers – in the Midwest. In order to be eligible, employees have to have spent at least a year with the automaker. However, you’ll need to have worked for a long time to get the maximum payout.
While details are hazy, people with less than 15 years of experience will only get up to $50,000. The company is also said to be offering a “$50,000 incentive for workers who were hired before November 2007 and are eligible to retire with full benefits.”
Everyone’s situation is different, but workers have until May 8 to accept. However, not everyone is convinced it’s the right move. Detroit’s WDIV talked to one worker who said, “It’s not enough money” as it would be “awful hard to find a job with the benefits and pay and the union representation of what they have here.”
It remains to be seen how many people will take the company up on its offer, but Stellantis said the buyouts are part of an effort to improve efficiency and remain competitive. The union begs to differ as they blamed former CEO Carlos Tavares and his “gross mismanagement” for creating a crisis.
