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Stellantis wants to trim 3,500 hourly U.S. jobs, UAW says

WASHINGTON — Chrysler-parent Stellantis NV wants to cut approximately 3,500 hourly U.S. jobs and is offering voluntary exit packages, according to a United Auto Workers union letter made public Tuesday. The automaker is looking to reduce its hourly workforce offering incentive packages that include $50,000 payments for workers hired before 2007, UAW Local 1264 said in a letter dated Monday posted on its Facebook page. Stellantis spokeswoman Jodi Tinson declined to comment. A person briefed on the matter said the figure might be lower than the figure cited in the UAW letter. In late February, Stellantis indefinitely halted operations at an assembly plant in Illinois, citing rising costs of electric vehicle production. The action impacted about 1,350 workers at the Belvidere, Illinois, plant that built the Jeep Cherokee SUV and resulted in indefinite layoffs. The automaker has warned it may not resume operations as it considers other options. The UAW letter said openings created by workers leaving would be filled by workers on indefinite layoff. Stellantis said in February that about 40,000 U.S. hourly workers were eligible for profit sharing. Last week, UAW President Shawn Fain said Stellantis' decision to idle the Illinois plant was "a flat-out violation" of the union's contract with the UAW and is unacceptable. The UAW will enter talks with the Detroit Three before labor contracts expire in mid-September. Earlier this month, General Motors said about 5,000 salaried workers accepted buyouts to leave the automaker. GM CEO Mary Barra said February job cuts of a few hundred jobs and the 5,000 buyouts "provided approximately $1 billion towards" a $2 billion cost cutting target. Ford Motor Co recently announced significant job cuts in Spain, Germany and other parts of Europe and in August said it would cut a total of 3,000 salaried and contract jobs, mostly in North America and India. Hirings/Firings/Layoffs UAW/Unions Chrysler Dodge Fiat Jeep Maserati RAM Stellantis

Mopar announces retractable bed step for Ram's 1500 and Heavy Duty pickups

As trucks get taller, hopping into the cargo box without performing contortionist-like moves becomes increasingly difficult. Mopar solved this problem by developing a retractable bed step that's compatible with Ram's pickups. When it's not needed, like when the truck is moving, the step is tucked under the cargo box. Where it's mounted depends on the model. It can be bolted on the left side of the hitch (if equipped) on 1500 trucks equipped with the 60/40-split MultiFunction tailgate, or directly below the driver-side corner of the bumper in Classic and Heavy Duty models. Either way, users can extend it with their foot, so they can step into the box even if their hands are full. Mopar noted it makes the step with high-strength aluminum, and it applies either a black e-coat or a powder-coated finish for better durability. There's no word on whether users can install it on their own, or if it needs to be added by a technician, but we can't imagine it requires cutting or welding. Odds are it's held by sturdy bolts. Mopar cargo box step for Ram 1500 View 4 Photos On sale now in the United States and Canada, the retractable bed step developed for trucks with a split tailgate wears part number 82216265AB, and it's priced at $395. It can hold up to 350 pounds. If your 1500 has a one-piece tailgate, the step you need also offers a 350-pound capacity but it carries part number 82215289AG and it costs $365. Heavy Duty owners need to ask for part number 82215842AE and set aside $365. Mopar didn't forget about motorists who own an older truck. Part number 82214245AD corresponds to a step that fits the last-generation 1500, which is still available new as the 1500 Classic, and it can hold 300 pounds. It was developed to fit single- or dual-exhaust models, according to Ram, and it's the cheapest of the bunch at $304. Numerous aftermarket manufacturers offer extendable bed steps, it's an accessory that has been around for years, but Mopar's stands out because it's covered by a warranty that's valid for two years regardless of mileage, or for the remainder of the truck's three-year, 36,000-mile warranty. If you're looking at the competition, the Chevrolet Silverado and GMC Sierra twins are available with steps integrated into the cargo box and the rear bumper, so they don't extend, but the latter's MultiPro tailgate can be configured as one wide step. Chevrolet might soon offer it, too. Related Video:

Fiat Chrysler dumped 40,000 unordered vehicles on dealers

In a move that echoes recent history, Fiat Chrysler has been making more cars and trucks than dealers in the U.S. are willing to accept, with Bloomberg reporting that at one point the automaker had built up a glut of around 40,000 unordered vehicles. That’s led some dealers to accuse FCA of reviving the dreaded “sales bank” accounting practice of obscuring inventory to improve the balance sheet. The company reportedly began building up its inventory of unordered cars this summer despite an industrywide slowdown in sales and an eagerness by some dealers to thin their inventories because rising interest rates are making it more expensive to hold unsold cars. The inventory build-up also coincided with Fiat ChryslerÂ’s efforts to find a merger partner, first with Renault, which fell through, then last monthÂ’s announcement that it will merge with FranceÂ’s PSA Group. FCA denies any such scheme and tells Bloomberg the rising inventory is down to a new predictive analytics system designed to better square supply with demand from dealers that is helping the company save money and narrow the numbers of unsold vehicles. The company recently agreed to pay a $40 million civil penalty to the U.S. Securities and Exchange Commission to settle a complaint that it paid dealers to report fake sales figures over a span of five years. While no one is suggesting that FCA is in dire financial straits — the company saw higher than expected earnings in the third quarter and record profits in North America — the practice has strong historical precedent by Chrysler, which built up bloated inventories in the run-up to its two federal bailouts, in 1980 and 2009. It was also common at GM and Ford during the 2000s, when all three Detroit automakers struggled with excess manufacturing capacity and plummeting sales in the lead-up to the Great Recession. Back in 2012, CFO Magazine wrote about a report that explained automakersÂ’ rationale for the practice and how it works: Say fixed costs for a given factory are $100, and that the factory can make 50 cars. Consumers, however, demand only 10. Under absorption costing, if the company makes all 50 cars, its cost-per-car is $2. If it makes only up to demand, or 10 cars, the cost-per-car is $10. Although each car adds variable costs for steel and other parts, if those costs are low, the company still has an incentive to make more cars to keep the cost-per-car down.