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Chrysler to slash 1,000 white-collar jobs

KRISTINE OWRAM

The Canadian Press

Latest comment posted at 1:08 PM EDT 25/07/08

‘Every day now is more bad news in our industry,' says CAW president, as auto maker says it will make cuts worldwide by end of September ...Read the full article

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  1. Soon To Be Returning Expat from North Carolina, United States writes: Well, well...that's all of the Big Three with major job cuts over the past couple of weeks.

    Does anyone know any more details about the 20% white-collar reduction at GM? How may people does that affect in Canada?
  2. CallofDuty . from Toronto, Canada writes: Too little too late from all 3 makers. By the end of the year, they're will be only 2...then end of next year just one.
  3. Gardiner Westbound from Canada writes: .
    Sounds like Cerberus picked 1,000 out of the air.

    I doubt the principals drove a Chrysler before they bought in. If they had they would have known they were buying a dog.

    Frank Stronach must be thanking his lucky stars he lost the bidding war. O' well, he still has Belinda.
  4. Eddie Kated from Canada writes:

    Maybe if these guys slip Buzz some coin he can rant on about saving their jobs?

    .
  5. Joseph Whistle from Canada writes: GM's the worst of them all. Overweight heavy cars. Nothing modern or break through.
    Chrysler is the second biggest failure. Also heavy inefficient cars.
    Ford might be the lesser of the 3 stupids.
    Honda, Toyota, and all the rest of them are doing just fine. Volkswagon is doing really well too now. They all make intelligent efficient cars.
    They only reason the domestics came this far, because of the zealots that feel that they are supporting us and are doing the right thing, by buying "North American". See you in the transmission shop... no wait, I stopped driving intentionally sabotaged cars years ago.
  6. s like from Canada writes: Joesph....have you owned a Volkswagon recently?

    $300 to replace a burned out headlamp! Quality isn't always that great either. I had a friend who worked at one of their dealerships recently....he had plenty of bad quality stories and bad design such as why it cost more than $300 to replace a burned out light bulb that cost $10.

    And not one of their cars is on Consumers recommended list.
  7. bob london from Canada writes: Reap what you sow Buzz. You messed up BC manufacturing and now Canada's, good job.
  8. dean spence from Canada writes: Have you ever noticed that autoworkers are a protected species? We must bend heaven and earth to ensure no economic harm befalls these unskilled high school drop outs. And if we're really good at it, in a few years they'll be running their fat yaps about how good they've got it.
  9. Get 2 Work from Canada writes: Joseph Whistle,

    Read the papers lately? Toyota isn't do so hot in the USA. They are as truck heavy as the Big 3. Sales in the US are down 21%. There big Tundra is down 53%. GM and Ford trucks are doing well by comparison.

    Some of you in the Big 3 bashing peanut gallery need to put away your pro-Japanese bias and show some objectivity.

    The only company that has been immune from the economic mess and high gas prices has been the adorable Honda Corp.

    I hope Chrysler can turn things around, and I admit that of the domestics they have the biggest challenge ahead of them. Thank goodness they have the successful mini-van line.
  10. Get 2 Work from Canada writes: dean spence from Canada writes... "ensure no economic harm befalls these unskilled high school drop outs."

    You obviously have no idea what you are talking about. I would guess most modern day autoworkers have plenty more education then you do.

    University/College grads make up most of those hired within the last 10-15 years. It is true.
  11. K Anderson from The Cape, Canada writes: So Buzz wants handouts from the Feds to reward his overpaid, underproductive members in Ontario. eh?

    Well Buzz, the Feds didn't create the problem . . . . the likes of you did! Time to pay the piper as they say down here!

    Keep it up Buzz and we'll be pumping you and your gang into the tanks of our imports like the decomposed dinosaurs we are pumping now.

    Good luck Chrysler!
  12. m. r. from Canada writes: I hope that includes top management as well!
  13. Joseph Whistle from Canada writes: Get 2 Work: VW has had electrical problems, more so than other cars. Parts are expensive too. But some people think that magically, parts and repairs for domestic cars are much cheaper. They're not.
    I know someone who has had a broken fuel pump on a GM car. Over $800 to fix.
    Look at the number of engine rebuilds there are and what type of cars you see in the transmission job, mostly domestic cars. That's because they are crap after crap after crap. But don't take my word for it. Check out the Lemon Aid guide. It tells it all.
  14. Ray Crawford from Toronto, Canada writes: Whatever happens to Chrysler, you have to admit that they make the best designed cars and this is from one who owns a GM truck.I can't stand the look of any Toyota; Ford finally got rid of their "bubble gum" cars like the Taurus. The problem with the auto industry is that there are two many companies making the same product: 3 major domestics, a dozen European and Asian cars builders. Before and after the second world war, several auto manufacturers went belly up. It's going to happen again. If you are young or even in middle age and work in the auto or autoparts sector, you might want to think about going back to college and getting a diploma in a field where there is demand.
  15. - Coyote from Canada writes: Honda's may last longer because Honda dealers con their clients into excessive maintenance. But when shopping for a used Honda, these maintenance records are worth gold.

    Many American car owners often fail proper maintenance, such as changing brake fluid or antifreeze as required resulting in expensive repairs and premature failure down the road. Chrysler had a high transmission failure rate because of the need for a special more-slippery trans fluid. Folks would have their local trans shop or oil change place change trans fluid and these idiots would put in a standard fluid resulting in premature trans failure.

    Trans shop ripoff artists would charge you $3000 for a rebuild, put crap oil in it and give you a 30day warranty. You were back soon for another rebuild. GM used undersized trans for many years giving them a bad rep and making trans shops rich. With electric cars coming, transmissions are obsolete and these crooks will disappear.
    CONT....
  16. - Coyote from Canada writes: Part2: ..............There is c-rap engine oil that the oil change places use that leads to premature engine failure. NEVER ever accept the base price oil: it is s h i t. ALWAYS pay extra for the HD SUV-oil option. Or if you have a Toyota, go to a dealer for maintenance: they are not r i p-o f f s like the Honda and GM shops are.

    Buying a used car? Use the Lemon Aid guides and ASK YOUR MECHANIC TO LOOK befire you buy.

    A couple tips for used car buying: stick your finger in the tail pipe. Is is black and greasy? Burns oil. The tailpipe should have a nice tan or lite brown colour inside. Smell the engine oil: black and stinks like it is burnt: badly maintained car. Then again most newer cars run hotter, so this will need some practise. Check lots of cars to get the idea.

    Smell the trans fluid: smells burnt? Run away. For this you really need to check a newer car to get the idea of what trans fluid should smell like. Never ever buy a car that the trans fluid smell different from what fresh trans fluid should smell like.

    Hondas and Toyotas made in Canada and the US are not as reliable as the Japanese ones, but as used cars, the market says it all.
  17. Get 2 Work from Canada writes: Anderson from The Cape, Canada writes: So Buzz wants handouts from the Feds to reward his overpaid, underproductive members in Ontario. eh?

    So I guess Anderson you are harder working and more accurately paid then assembly line workers in auto plants?

    For some reason I think you need a reality check. Most autoworkers today have only 18 minute lunch breaks, and barely enough time between jobs to wipe the sweat off their brow. It is true. It is called lean manufacturing and Toyota, Ford, Chrysler, GM, etc. all use it. It isn't 1975 anymore.
  18. Brian Lee from Toronto, Canada writes: Hand outs from the feds aren't a means to an end... the problem that most autoworkers won't admit is. CONSUMERS have no confidence in your product, it's that simple.
  19. - Coyote from Canada writes: Get 2 Work writes: “Some of you in the Big 3 bashing peanut gallery need to put away your pro-Japanese bias and show some objectivity.

    *
    Get 2, your posts would be a lot more believable if you would stop insisting that “it is true.” This is a trait often employed by those who make up stuff. And it seems that YOUR “objectivity” is nothing less than defending the Big Three.

    Yes Toyota blundered with the Tundra, but in comparison the Big Three have entire stables full of blunders. My “pro-Japanese bias” is based upon market forces and my market experiences with Japanese product as compared to Big Three. I blame equally management and union for the quality failings of these manufacturers. No one thought of quality until it was too late. But, more importantly, a new paradigm has laid to waste the hopes of shareholders and employees; can they climb out of this market pit they have fallen into?
  20. Tim Park from London, Canada writes: I have owned several Chryslers, not one has had a major failure, and each one has had over 300000 km on it. Follow the maintence guide, do not go to a cut rate shop. One had over 700000 on it.

    One thing to remember if you are going to insult mopar. Most shops uses dextron II fluid in chryco trannys, the best of the worst will add a friction reducer. In both cases they will gum in the tranny. If people used only the correct fluid, yes it is 10 bucks more a gallon, the tranny will last longer.

    If you want the opinion of a journalist, look for the non pay for play sites and books.
  21. Michael Jones from Canada writes: s like from Canada writes: Joesph....have you owned a Volkswagon recently? $300 to replace a burned out headlamp! Quality isn't always that great either. I had a friend who worked at one of their dealerships recently....he had plenty of bad quality stories and bad design such as why it cost more than $300 to replace a burned out light bulb that cost $10. And not one of their cars is on Consumers recommended list. Wrong on three counts. Just had a headlamp bulb replaced didn't cost me a cent. Admitedly it was under warranty but I've never had a bulb changed at a VW dealership that's cost anything more than $10. Tell me which dealership your "friend" works at and I'll avoid it like the plague. Interior quality of VW vehicles is second to none and their body integrity has vastly improved with the model change overs in the last few years. Last time I checked Consumers' Reports the Rabbit was ranked as the best hatchback available in North America, it spanked the Mazda 3 down to 3rd place. The Jetta too has improved its standing to "Recommended" status and when the new diesels hit the market you can bet your bottom $ that their CR rankings will improve even further! S Like, if you come to the battle at least come armed.
  22. Cynical Canadian from London, Canada writes: Edmunds.com, a leading online automotive information resource, says the Jeep Patriot equipped with a 4-cylinder engine and manual transmission is the least expensive SUV to own with a total cost of ownership of $0.486 per mile. Edmunds based their findings on their estimates of the costs of owning the vehicle for five years, including payments, insurance and driving 15,000 miles per year with fuel costing $4.09 per gallon. A similarly equipped Jeep Compass came in third in the ratings at $0.505 per mile, behind the Mazda Tribute at $0.494.

    A Dodge Durango equipped with the 3.7-liter, 6-cylinder engine and automatic transmission was the least expensive large SUV at $0.706 per mile while the Chrysler Aspen with the 5.7 liter Hemi was the most expensive of the five vehicles listed in the segment with a total cost of ownership of $0.782.
  23. Peter Kells from Bytown, Canada writes: This article claims that "the decline hit Chrysler harder because trucks and SUVs make up 72 per cent of the company's U.S. sales"

    What kind of bubble was Chrysler Corporation in to allow itself to become so dependent on sales of gas guzzlers? They may have been good cash cows but any marketing person knows that todays cash cows are tomorrow's dead cows. The only unknown in this storywas the speed at which fuel prices would soar. As any good manager knows, you plan for the worst and hope for the best. It seems that these guys didn't have a plan at all let alone a plan B or C or D.

    Maybe they were too busy working on their bonus plans and stock options.
  24. Joseph Whistle from Canada writes: Coyote: actually, I'm on my 4th Honda and I've always neglected their "maintenance schedule". It's a complete and utter waste. Just change the oil whereever you get a deal.
    Watch your breaks and change pads before the disks get affected.
    Other than that, do nothing. Well, tires, and air filters. Change other fluids at, pfff, 100k's, not before.
    Honda's keep going and going, because simply, yes, they really ARE one of the best.
  25. Trenton McLeod from Pickering, Canada writes:

    Canadian Auto Workers president Buzz Hargrove is calling on the federal government to take steps to revitalize the “horrible situation” faced by the Canadian auto industry after a second round of job cuts at a major auto maker in two days.
    ------------------

    Typical lefty thinking. What's the problem, Buzz? Well, the problem is that housing crisis-no new homes are being build and trades are not buying Silverado's or equivalent vehicles.

    So what could the Feds do? Well, they could buy one million new trucks. But that might only work for six month before they'd need to buy one million more.

    Buzz, the problem is markets, a word that Linda McQuaig dislikes but a word non the less which is reality to our way of living.

    Now Dalton could do something. He could lower taxes and make Ontario more attractive to invest. But if he did this, how, at least in the short term, would he find enough funds to give his socialists hefty pay raises?
  26. Trenton McLeod from Pickering, Canada writes:

    But the government “doesn't even recognize” the problem, said Mr. Hargrove.

    -----------

    Either do most Canadians. Do a simple tally and it's easy to conclude that Canadians buy non domestic cars. So would Buzz like to see a federal tax on all non domestic vehicles as a means of forcing the Canadian to buy domestic?
  27. Iain's Opinion from Canada writes: Ha Ha Ha you guys are so stunned. Why do North Americans have so much power in their vehicles? Becasue they DEMAND it. If we wanted the wimpy 0-60 Kph in 42 seconds we'd have it. The companies give us what we DEMAND, that's all.
    WE WANTED BIG TRUCKS, BIG CARS WITH LOTSA OOMPH AND SEXY STYLES.
    Point your finger in the mirror.
    Where the Big 3 fell down was reliability.
  28. James MacDonald from Edmonton, Canada writes: Tis too expensive to build vehicles in Ontario these days. In order to survive companies should shift production to Chindia.
  29. - Coyote from Canada writes: Labour and management needs to take shares in lieu of wages and take a big haircut, or leave.
  30. Paul Bowler from Canberra, Australia writes: If Cerberus LLP don't sell Chrysler soon they won't be able to give it away! Chrysler first, then Ford followed closely by GM - all by 2010!
  31. David Smith from Toronto, Canada writes: Buzz Hargrove killed the auto industry in Canada, well done sir, now you can go retire to pasture you old goat.
  32. Get 2 Work from Canada writes: David Smith. Please describe how Buzz Hargrove killed the auto industry in Canada.

    If you were the head of the CAW what would you have done differently? Would you have dissolved the CAW and lobbied for the elimination of trade unions in Canada? Argued for minimum wage to compete with Korea and Mexico? Perhaps you would have given up pensions/health coverage and all the things any working person would like?

    I am interested in knowing how Buzz is the problem. Is Buzz also responsible for the closure of plants in the US?
  33. The Natrix from Toronto, Canada writes: "Get 2 Work from Canada writes: Read the papers lately? Toyota isn't do so hot in the USA. They are as truck heavy as the Big 3. Sales in the US are down 21%. There big Tundra is down 53%. GM and Ford trucks are doing well by comparison. ============== Get2Work, you are just plain ignorant, do some research before you make comments like "GM Ford Trucks are doing Well in comparison" June Sales 2007-08 MONTHLY Change: *Ford (F150makes up ~33% of TOTAL Sales): -40.5%!!! *Toyota (Tundra makes up ~25% NAmerican Sales) -34.4%!! June Sales 2007-08 YEAR TO DATE Change: *Ford F150: -22.7%!!! *Toyota: -8.5% Yaaaayyyy!! The F-Series is doing well for sure (even though there sales DROP was bigger, and truck sales proportion also bigger) "Get 2 Work from Canada writes: Thank goodness they have the successful mini-van line." You might want to come back down from planet earth. "After STOPPING production at its minivan plant, in suburban St. Louis, Chrysler will still make minivans at a plant in Windsor, Ont. It is also cutting a shift at a truck assembly plant in Fenton, Mo. In all, about 2,400 of 3,500 workers at the Fenton facilities will be affected. Chrysler's announcement comes at the end of a dismal quarter for the industry. Sales reports that the automakers will release Tuesday are expected to show that June was the WORST month in at least 15 years, with sales down about 17% from a year ago, according to estimates by Edmunds.com. Chrysler, which makes a higher proportion of trucks than the other major automakers, is believed to have fared the worst, but all three Detroit automakers are projected to report drops of at least 25%." http://finance.sympatico.msn.ca/Investing/Insight/Article.aspx?cp-documentid=8397565

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