Chrysler to Make Deep Job Cuts (25% of its white-collar jobs)

Wall Street Journal ^ | 10/24/08 | WSJ

[jimbo123]

DETROIT – Chrysler LLC told employees Friday it will cut 25% of its white-collar jobs next month.

In a letter to employees, Chief Executive Robert Nardelli said the cuts are necessary because of the deep downturn in the economy and the tightening credit situation, which are choking off auto sales.

[Slapshot68]

“Chief Executive Robert Nardelli said the cuts are necessary because of the deep downturn in the economy”

Chrysler wasn’t doing all that great when the economy was good, were they?

[thefactor]

hmmmm, i bet the unions won’t say a peep about these layoffs.

[Daveinyork]

How many cars do the white collar guys make?

[jimbo123]

How many cars do the white collar guys make?

It's not about making cars. It's about SELLING cars.

[vietvet67]

Walmart must have received their first order of chinese cars.

[HuntsvilleTxVeteran]

When a company that makes real items get taken over by
bean counters, lawyers and unions instead of engineers,
it will fail.

[jimbo123]

When a company forgets that its number one job is to make and sell products that people want to buy, it will fail.

[Huck]

I used to work in corporate. It’s a miracle any of em make money. The only thing i could come up with to explain it is that every corporation must be just as wasteful as the rest. I’ve never seen so many useless jobs and jobholders in my life. I know, I was one of them. I laid myself off. LOL. Now I’m much happier. I think every corporation could cut 25% of white collar jobs and remain just as productive, maybe more so.

[yankeedame]

When a company forgets that its number one job is to make and sell products that people want to buy, it will fail.

Granted, but lest we forget a company ensnared in the cobweb of government red tape and diktats making it more and more difficult to make and sell products that people want to buy will also fail.

[Carbonsteel]

"I think every corporation could cut 25% of white collar jobs and remain just as productive, maybe more so."

You could easily say that about Government as well. Hell, just at what the bean-counters and lawyers have done to NASA.

[jimbo123]

I have worked with numerous Fortune 1000 companies over the course of my career and agree with you.

[TSgt]

I used to work in corporate. It’s a miracle any of em make money. The only thing i could come up with to explain it is that every corporation must be just as wasteful as the rest. I’ve never seen so many useless jobs and jobholders in my life. I know, I was one of them. I laid myself off. LOL. Now I’m much happier. I think every corporation could cut 25% of white collar jobs and remain just as productive, maybe more so.

I work in corporate and agree but on a lower percentage like 10% to 15%. The problem is that it is hard to fire people for a variety of reasons so companies are forced to hire others to pickup the slack. Managers do not like to let people go for fear that they will not have the manpower they need when they need it so they tolerate a lot of nonsense. The solution is performance based compensation. How did you lay yourself off? I would like to do that! ;)

[Liberty1970]

I’m just in the midst of transitioning back to covering Chrysler products (working at a Tier 1 supplier). I am thinking all my customer contacts are getting extremely stressed right about now. May God bless them and keep them.

[Centurion2000]

Hey now ... Corporate Historians are people too /sarc

[realdifferent1]

How many cars do the white collar guys make?

ALL OF THEM.

You think some HS dropout on an assembly line designs, tests, markets, secures financing for operations?

[Huck]

I remember a couple of times, at a couple of different companies, when we had job cuts. I went to my boss, please lay me off! I want a package! Some time to go fishing. They just laughed at me and told me to stop being silly. I couldn't get laid off no matter what I did.

Eventually, when my motivation level and satisfaction level was completely flatlined, I simply quit. I got out of corporate. I was working nights and weekends doing something dear to my heart, but with a lot less pay. But ultimately, I just said the hell with it. I made enough money to buy a house with savings left over while I was in the game. I got myself in good position. In my 7 years in corporate, I averaged about 40% cash savings. I was absolutely addicted to saving money. That's not counting my 401K er, 201K, er 50.5K contributions, into which I paid enough to get the company match. And then I bailed at 37 yrs old. Now I work 6 days a week, love it, and plan on working til I croak. Happily.

I hear you about it being hard to fire someone, but I'm not just saying the people are worthless. I'm saying the positions they hold are worthless. Entire departments are worthless. They add nothing to the bottom line. It amazes me to this day.

[Huck]

It’s got to be even worse in gubmint. But my experience taught me that corporate is almost just as bad. Same problem. Everyone is spending someone else’s money. No one truly has a stake. They are jobholders. It’s a gravy train. And every corporation has the same disease, so no one manages to get a competitive edge.

[Alberta's Child]

Great story, Huck!

I'm sort of in a similar position myself, but my company is still small enough that I'm not exactly in the "corporate" world. And I make my company even smaller by focusing my attention on the people and projects in my own office (about 15 of us).

I love what I do, mainly because I have the flexibility to do a lot of outside things that help inform my professional knowledge here in this company.

If this ever changes, then so will I!

[grellis]

If you would like to be added or dropped from the Michigan ping list, please freepmail me.

Expect to see many more McMansion foreclosures in Oakland County. This is just the start.