Chrysler will offer new buyouts to workers at seven of its eight US plants slated for closure under its bankruptcy plans, the United Auto Workers union has said.
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According to Reuters, UAW vice president General Holiefield said in a memo to local union presidents the US Treasury has told Chrysler the buyouts must be completed by 26 May if it is to stay on schedule for coming out of bankruptcy.
“In the next few days, each member at these facilities will be sent a letter from the corporation listing the special programme options,” Holiefield said in the memo sent on 11 May, a copy of which was obtained by Reuters.
Apart from Chrysler’s axle plant in Detroit, all workers at other plants scheduled for shutdown – which include Sterling Heights and Conner assembly plants in Michigan – will be offered special programmes, Holiefield added.
Reuters noted that Chrysler has been offering buyouts and early retirement incentives to all 26,000 of its US hourly workers under a programme launched in February.
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By GlobalDataHoliefield also said the UAW was in discussions with Chrysler to “resolve the many issues we are confronted with to assure the bankruptcy process is completed in order to get our plants back up and running as a viable company”, Reuters reported.
