Stellantis, the company that owns Chrysler and Jeep, announced plans to reopen a factory in Illinois and boost production elsewhere in the U.S., addressing simmering disputes with the U.S.Automotive Workers Union (UAW). The move comes after the automaker’s top interim management team took over following former CEO Carlos Tavares’ resignation in December.
The plant closure in early 2023 led to production halts, but Stellantis agreed to a new contract with the UAW to reopen it later that year. However, plans were delayed in August 2024 after declining sales and profits. The UAW filed grievances with the National Labor Relations Board, accusing Stellantis of breaching its 2023 contract.
Stellantis this week revealed plans to make a medium-size pickup truck in Belvidere, Illinois, and rehire about 1,500 union workers. It also announced moving forward with building a new Dodge Durango sport-utility vehicle at a Detroit plant, responding to the UAW’s concerns over shifting production to Mexico.
President of the UAW, Shawn Fain, praised the company for taking accountability seriously and using this victory to protect jobs in communities like Belvidere, Detroit, Kokomo, and beyond. Meanwhile, Stellantis will invest in its Toledo plant, which manufactures Jeep models, as well as an engine plant in Kokomo, Indiana.
The White House press office did not respond immediately to a request for comment on the company’s actions.
Source: https://www.nytimes.com/2025/01/22/business/economy/stellantis-illinois-factory-uaw.html