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Stellantis lays off salaried workers, cites uncertainty in EV transition

DETROIT — Jeep maker Stellantis is laying off about 400 white-collar workers in the U.S. as it deals with the transition from combustion engines to electric vehicles. The company formed in the 2021 merger between PSA Peugeot and Fiat Chrysler said the workers are mainly in engineering, technology and software at the headquarters and technical center in Auburn Hills, Michigan, north of Detroit. Affected workers were notified starting Friday morning. “As the auto industry continues to face unprecedented uncertainties and heightened competitive pressures around the world, Stellantis continues to make the appropriate structural decisions across the enterprise to improve efficiency and optimize our cost structure,” the company said in a prepared statement Friday. The cuts, effective March 31, amount to about 2% of Stellantis' U.S. workforce in engineering, technology and software, the statement said. Workers will get a separation package and transition help, the company said. “While we understand this is difficult news, these actions will better align resources while preserving the critical skills needed to protect our competitive advantage as we remain laser focused on implementing our EV product offensive,” the statement said. CEO Carlos Tavares repeatedly has said that electric vehicles cost 40% more to make than those that run on gasoline, and that the company will have to cut costs to make EVs affordable for the middle class. He has said the company is continually looking for ways to be more efficient. U.S. electric vehicle sales grew 47% last year to a record 1.19 million as EV market share rose from 5.8% in 2022 to 7.6%. But sales growth slowed toward the end of the year. In December, they rose 34%. Stellantis plans to launch 18 new electric vehicles this year, eight of those in North America, increasing its global EV offerings by 60%. But Tavares told reporters during earnings calls last month that “the job is not done” until prices on electric vehicles come down to the level of combustion engines — something that Chinese manufacturers are already able to achieve through lower labor costs. “The Chinese offensive is possibly the biggest risk that companies like Tesla and ourselves are facing right now,Â’Â’ Tavares told reporters. “We have to work very, very hard to make sure that we bring out consumers better offerings than the Chinese.

2023 Alfa Romeo Tonale previewed ahead of February unveiling

After a false start, Alfa Romeo is finally ready to introduce the production version of the Tonale concept it presented in 2019. It released a short video on its social media channels to preview the model, which will be positioned below the Stelvio as an entry-level crossover. The murky, 12-second flick highlights the Tonale's digital instrument cluster, which features a layout called "cannocchiale" ("telescope" in Italian) by the brand. It seemingly consists of a screen flanked by a pair of round dials, and it's loosely inspired by the layout found in some of Alfa's classic models. Later examples of the 115-series GTV used a pair of large analog gauges separated by warning lights and smaller gauges. Discover driver-centric design in the cockpit of the new #AlfaRomeoTonale, featuring the multi-functional “Cannocchiale” cluster. “La Metamorfosi” begins February 8th. https://t.co/7tknJCcFTR pic.twitter.com/dh7o9BUwBq — Alfa Romeo USA (@AlfaRomeoUSA) January 26, 2022 What's more interesting than the cluster is the image of the Tonale that appears on the middle screen. Shown above, it's our first official look at the Stelvio's baby brother. Surprisingly, the crossover shares more styling cues with the 2019 concept than with the prototype spotted at a design clinic later that year. The shape of the grille hasn't changed much, and there are three U-shaped LEDs integrated into each headlight. The rest of the design remains shrouded in darkness. Our crystal ball tells us that the production model will look a lot like a toned-down version of the concept; we're not expecting the proportions to significantly change. Unverified rumors claim that the Tonale will be closely related to the Jeep Compass beneath the sheetmetal, and it will be offered with several engines and at least one plug-in hybrid drivetrain. It's this system that sources say delayed the launch: Alfa Romeo's boss reportedly sent engineers back to the drawing board in April 2021. Alfa Romeo will unveil the Tonale online on February 8, 2022, at 9 a.m. ET, which is 6 a.m. in California. And, while the odds of seeing it on our shores were previously unknown, Alfa Romeo's American division all but confirmed in a tweet that the model will be sold here. Related video:

Ram, Jeep redesigns on hold, Alfa Romeo models may come sooner

Last summer, FCA outlined an ambitious five-year plan that sketched out the company's product intentions for each of its brands through the end of 2018. However, even the best strategies sometimes need tweaking. According to Reuters after speaking with unnamed people at auto suppliers, FCA is now possibly delaying at least a dozen projects in North America for a variety of reasons. From vehicle to vehicle, these postponements allegedly last anywhere from just a few months to over a year. The sources from the suppliers claim that in some cases these tweaks are for engineering and design changes. The next-gen Ram 1500 reportedly has among the shorter delays and is being pushed from mid-2017 to November 2017, according to Reuters. Also, the much-discussed future Jeep Wrangler is allegedly moving a little later to July 2017. Among the vehicles purportedly seeing longer delays, the next-gen Grand Cherokee could get pushed back about a year to 2018. That then forces the launch of the three-row, luxury Grand Wagoneer to be even further away. Jeep's upcoming C-segment CUV and the all-new Chrysler 300, Dodge Charger, and Challenger might also see postponements. The one brand allegedly seeing an accelerated plan is Alfa Romeo. Without going into detail, the sources from these suppliers claim that the Italian automaker is getting even more vehicles for its lineup and could get them even faster than planned. "Those plans need to be flexible and fluid, with the potential to add some vehicles, pull some forward and extend the life cycle of others," FCA said to Reuters about all of these allegations. "We look at these programs on a vehicle-by-vehicle basis." Investment in the auto industry has been a major topic for FCA CEO Sergio Marchionne as of late. He believes consolidation is necessary so that companies aren't burning money on the same projects. Related Video: News Source: ReutersImage Credit: Bill Pugliano / Getty Images Plants/Manufacturing Alfa Romeo Chrysler Dodge Fiat Jeep RAM Sergio Marchionne FCA fca us