On Chrylser’s Restructuring – 789 Dealerships to Go

This and more from yesterday on Capitol Hill

Laid-off autoworkers and car dealers fighting forced closures were outraged Wednesday to learn that the new Chrysler-Fiat partnership plans to skirt U.S. restrictions on executive pay by having some top Chrysler executives deemed Fiat employees.

From Automotive News:

Chrysler LLC will eliminate 789 dealers, or 25 percent of its U.S. network, by June 9, according to a memo sent today to retailers in one sales region.

Dealers are learning of their fate via UPS letters to be delivered this morning, the memo says.

Dealers will get 23 business days for a “court review” of their cases, according to the memo, from a sales manager to district dealers.

<snip>

The National Automobile Dealers Association estimates that an average U.S. dealership now employs about 48 people, so an estimated 37,872 people stand to lose their jobs because of Chrysler’s decision today.

Whoa…. and the banks?  What’s going on with the banks?  More money, yeah?

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4 Responses

  1. “Pay the execs first…by any means necessary.” Learned the AIG lesson well didn’t they. Wish I could say I’m surprised.

  2. All right – I was watching The Ed Show this afternoon and caught Dennis Kucinich on for a few minutes.

    He’s bringing up a new resolution – just today, he did this.

    There’s more here.

  3. Dan Quayle~Chrysler potatoe heads. Umm let me see, terminate some profitable dealerships because they are not in the ‘right area’ for growth.

    Think that I’m gonna push my resume around to some of the Korean / Chinese car companies looking to establish a base here in the good ole US of A.

    Do you want a new Hyundai Genesis (which by the way is every bit a nice as a Lexus/Mercedes) or a Chrysler 300?

    To quote: Fuckery for sure

  4. CC –

    Just fer you……

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