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Falling European market forces Stellantis to cut 600 jobs Auto Plus news in your smartphone Auto Plus news in your inbox

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Falling European market forces Stellantis to cut 600 jobs Auto Plus news in your smartphone Auto Plus news in your inbox

The Stellantis plant in Mulhouse is facing the decline of the European car market. From the beginning of March next year, the factory will stop its night work, which will lead to the elimination of almost 600 temporary jobs on the territory of the enterprise.

The decision was announced during the Socio-Economic Committee (CSE) on 24 January 2024, where Stellantis Mulhouse management informed staff representatives of the end of the midnight shift from 4 March. The CFE-CGC section confirmed this in a press release “Almost 600 positions will be eliminated” within the framework of this event.

Temporary contracts have not been extended

These reductions will affect temporary jobs, both in the night half-shift and in the day shift. These positions will be vacated to allow for the reclassification of permanent night workers. About 630 temporary jobs will gradually affect the end of contracts.
The event is explained by the adaptation of the organization of production in the conditions of a tendency to decline in markets, a decrease in the site’s daily rate from 1030 to 830 vehicles. These are Peugeot 308 sedan and station wagon models with thermal, hybrid and electric engines, as well as Peugeot 408 and 508 and DS 7 with thermal and hybrid engines.

Why is Stellantis cutting these jobs?

The unions believe that the decision is the result of several factors, including the decline of the European market, the geopolitical situation, the next election, the reduction or termination of financial support for electric and hybrid cars in Europe, particularly in Germany, and aggressive price competition, according to the CFE-CGC .
This is stated by the management of the plant This measure will not affect the permanent work planned for this yearwhich numbers 112, and that the number of temporary workers will be reduced to approx thousand out of the total number of 4,300 permanent employees.

This decision, taken in the difficult economic situation, aims to preserve the competitiveness of the plant in the constantly developing automotive market.

Read also:
Fiat beats Peugeot in Stellantis
What is the future of Opel in the Stellantis group?
Peugeot 208: how many kilometers to sell it?

Author: Yann Lethuyer
Source: Auto Plus

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