Stellantis Announces Layoffs of 400 U.S. Salaried Workers Amid EV Transition

The layoffs, primarily in engineering and technology roles, aim to navigate economic uncertainties and competitive pressures.

Stellantis, a leading global automaker, is laying off about 400 salaried workers in the U.S. as part of its strategy to navigate the transition from combustion engines to electric vehicles.
The layoffs, effective March 31, primarily affect employees in engineering, technology, and software roles at the company's headquarters and technical center in Auburn Hills, Michigan.
CEO Carlos Tavares emphasized the need for cost reductions to make electric vehicles (EVs) affordable for the middle class, noting that EVs currently cost 40% more to produce than gasoline-powered cars.
Stellantis plans to launch 18 new electric vehicles this year, aiming to increase its global EV offerings by 60% and address competitive pressures, including challenges from Chinese manufacturers.
The company's workforce reductions follow similar moves by Ford and General Motors, highlighting the auto industry's broader shift towards electric vehicles amid economic uncertainties.