The car marker Stellantis recently made an announcement regarding its plans to lay off approximately 400 employees as it navigates the complex shift towards manufacturing electric vehicles (EVs).
Effective on March 31, a major American automaker will be implementing layoffs that primarily affect white-collar positions at the company’s headquarters and a chemical center in Auburn Hills, Michigan.
These job cuts will impact roles in engineering, technology, and software.
Stellantis has been cautious in introducing its electric vehicles to the market, unlike some of its competitors. For instance, Ford experienced significant financial losses of $4.7 billion in 2023 due to their electric vehicle sales.
Stellantis has previously announced its ambitious goal of achieving full electrification for all sales in Europe and a significant 50% of sales in the U.S. by 2030.
A small fraction of the company’s engineering, technology, and software positions will be affected by the layoffs.
In December, Stellantis made an announcement regarding potential layoffs of numerous employees from plants located in Detroit and Ohio.
These adjustments in production are being made in order to align with environmental regulations set forth in California.
California’s mandated standards have compelled automakers to accelerate their transition to electric vehicles, as they strive to reduce emissions in the state.
The Biden administration is actively advocating for a rapid transition to electric vehicles, implementing stringent regulations on tailpipe emissions in the coming years.
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