posted 01-24-2006 08:14 AM         

I thought somebody would mention this yesterday?

Your thoughts??? Poor planning?,,,weak model lines?,,,,,economy?,,,,,management? or employee contracts?

Is DC next to announce? Seems the 300C, Magnums, PT's, and Hemi Rams keep selling? Bad news yesterday from Consumer Reports? or some other rating agency? >>>> Durango rated worst SUV to purchase

posted 01-24-2006 08:42 AM         

quote:

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Originally posted by ALLEY CAT:
Ford to close 14 plants,,,,layoff 30,000 employees in the next few years!
Your thoughts??? Poor planning?,,,weak model lines?,,,,,economy?,,,,,management? or employee contracts?

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ALL OF THE ABOVE

Poor Planning: turn a car company into a truck company and forget how to build car

weak model line: see above, turn your cars blobs of plastic that look like all other blobs (OR RENTAL CARS)

Management: higher puppets to run the floor that have no *alls to do the right thing, have engineers be supervisors that don't want to be and no management skills, then promote them to middle management levels, then promote again until they fail THEN FIRE THEM, but not always because we have BIG GOVERMENT to protect them. Afraid to make a mistake so they make no decisions. Talk standardization then let 50 engineers design a pump to pump oil when 3 would do, then add in servive and we build about 80 different pumps.

Employee contract: the union forgot what they were unionized for (protect the workers and improve there rights and working comdition) now they just want the monthly union dues to keep their business going. protect the worhtless that is costing the rest their jobs. see no B*lls above

I didn't see or hesr what was said.........NOT GOOD NEWS

They are suppose to send out a survey for employees to fill out and return on what we think needs to happen to turn the company around.

posted 01-24-2006 09:09 AM         

DaimlerChrysler AG will eliminate 6,000 white-collar jobs.

Many of the cuts will come at DaimlerChrysler's Stuttgart, Germany, headquarters, which will move to nearby Untertuerkheim.

The job losses will affect the Mercedes-Benz's U.S. sales arm in New Jersey, with 1,500 workers.

Job cuts are expected to be minimal at Chrysler in Auburn Hills.


DaimlerChrysler AG announced today that it will cut more than 6,000 administrative and white collar jobs, many at its Stuttgart, Germany headquarters, as part of new CEO Dieter Zetsche's effort to streamline the company and shift some responsibilities from the parent company to the Chrysler Group and Mercedes-Benz divisions.

Zetscheannounced the changes in Stuttgart, where he has assembled senior DaimlerChrysler managers from around the world.

Auburn Hills-based Chrysler, which is comparatively lean after its recent restructuring, is likely to be spared the brunt of the job cuts, the sources said.

The company said in a statement that the cuts would come in such areas as accounting, auditing, personnel and strategic planning.

The new structure “should improve the company’s competitiveness and make further profitable growth possible,” DaimlerChrysler said. “The model is based on further integration of the company, focusing operating areas completely on their core functions and advancing cooperation.”

At the management level, the cuts would amount to 30 percent of personnel, the statement said.

The company also said it would reorganize the oversight of its commercial vehicles division, saying that it would be renamed the truck group and subdivided into a North American division including its Freightliner, Sterling and Thomas Built lines, and a Europe-Latin America division including Mercedes-Benz trucks.

Meanwhile, financial results from the former commercial vehicles division bus and van businesses would now be reported separately.

In another move, the company said its research and development activities and Mercedes division vehicle development would be under the combined oversight of Thomas Weber, a member of the company’s top management board.

The company noted that the management board itself has shrunk from 12 to nine members with already-announced changes including new CEO Dieter Zetsche’s decision to combine his duties with running the company’s Mercedes group.

Hardest hit will be white-collar employees in Moehringen -- the headquarters that former CEO Juergen Schrempp once called 'Bull---- Castle,' in an apparent reference to the byzantine politics and tensions between the former Daimler-Benz parent company and its proud Mercedes subsidiary.

A former Mercedes chief engineer, Zetsche headed Chrysler for more than four years and returned to Germany in September to run Mercedes. He became CEO of DaimlerChrysler on Jan. 1.

Mercedes-Benz USA, the regional sales and marketing business based in Montvale, N.J., is expected to suffer proportionately deeper cuts than Chrysler. Mercedes-Benz USA employs 1,500.

In contrast to the sweeping restructuring plans announced Monday at Ford Motor Co. and previously by General Motors Corp., the changes to DaimlerChrysler's management structure and job cuts are aimed at making the company more responsive in an increasingly competitive industry and getting "the most out of the merger," one of the sources said.

Looking beyond the internal rivalry among Detroit's automakers, DaimlerChrysler is trying to position itself against the ascending global leaders.

"We are competing with Toyota and the Asian imports," Chrysler Group CEO Tom LaSorda said in a speech Monday at the Detroit Economic Club.

"Clearly, it falls on the shoulders of those of us in positions of leadership in this industry -- in management and labor -- to ensure that our companies and our people can compete against global competition," LaSorda said.

"At the Chrysler Group, we take no joy whatsoever in what's happening at our cross-town rivals We went through similar agonies during our restructuring just a few years ago -- and we know that, in this competitive environment, the need to become leaner and more efficient is never 'finished.'" he said.

Chrysler is likely to increase its prominence within DaimlerChrysler by taking on more responsibilities in areas such as manufacturing processes, where it leads the other divisions.

Mercedes is expected to absorb the van business, now part of the commercial vehicles division, the sources said, confirming the unsourced report in the Spiegel.

Even before the 1998 merger that created DaimlerChrysler, the automaker struggled to strike the right balance between the parent company that oversaw all the businesses and the proud money-maker Mercedes.

But Mercedes is struggling now to recover from an erosion in quality, as Japanese automakers gain ground in premium segments. The division is undergoing a restructuring aimed at eliminating 8,500 jobs in Germany to reduce costs.

In recent years, DaimlerChrysler has sold many businesses -- including stakes in Mitsubishi Motors Corp. and Hyundai Motor Co., and it has folded its aerospace activities into the European Aeronautic Defense and Space Co.

The company last month announced plans to sell MTU Friedrichshafen, which builds large diesel motors for ships, tanks and trains, as well as the off-highway activities of Detroit Diesel Corp.

DaimlerChrysler employ over 380,000 people worldwide, with 185,000 in Germany and fewer than 100,000 in the United States.

posted 01-24-2006 09:19 AM         

quote:

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Originally posted by WildCat:
Employee contract: the union forgot what they were unionized for (protect the workers and improve there rights and working comdition) now they just want the monthly union dues to keep their business going. protect the worhtless that is costing the rest their jobs. see no B*lls above

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You are absolutely correct on this point Larry. These guys are following the steelworkers into oblivion. Putting such huge demands on the company and not willing to compromise. This forces them into no profits and bankruptcy. How is that looking out for your members.

Workers should want their employer to be extremely profitable - it is the only way to have some job security.

The days of unions are over as are the days of companies abusing workers. The only way to succeed in todays everchanging environment is for employers and employees to work together as a team - no "us" versus "them" mentality.

The other big change in America is the lack of the old "Buy American" views. The last time when the auto companies were close to bankruptcy, you would be afraid to drive a foreign car for fear that you would wake up with graffiti on your car or sugar in the engine. Today, no one cares (rightly or wrongly).
And the first ones to complain about the "outsourcing of America" are the first ones to buy a Toyota

posted 01-24-2006 09:45 AM         

quote:

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Originally posted by Wayne Finch:

The other big change in America is the lack of the old "Buy American" views. The last time when the auto companies were close to bankruptcy, you would be afraid to drive a foreign car for fear that you would wake up with graffiti on your car or sugar in the engine. Today, no one cares (rightly or wrongly).
And the first ones to complain about the "outsourcing of America" are the first ones to buy a Toyota

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Well said Wayne. However its hard to tell anymore when you are buying American vs foreign. We own three DC Autos, but are we really buying American or German? Toyota's are being built in the USA. They said yesterday now that Ford and GM have closed in Atlanta ,KIA or another foreign car will probably open a plant here giving the displaced GM and Ford workers jobs. The white collar jobs are just as bad. Laying off American workers as the jobs are outsource to Brazil, India and China. For example IBM. They are shifting more and more manufacturing to Singapore, Dublin and China. They are off shoring administrative support as well. So if you buy an IBM computer are you really buying "American" anymore?

posted 01-24-2006 12:09 PM         

Anyhow I think the effectiveness of unions has diminished over the past 20 years due to them demanding high wages and extraordinary benefit packages for the workers.

While the unions certainly share a large part of the blame, the negotiators for the auto companies also share the blame. The unions demanded unreasonable compensation and the Big Three negotiators caved and sold the future financial health of the Big Three down the river.

At the risk of being over simplistic, I can't understand how the Big Three agreed to some of the benefits, knowing full well that the future market landscape was changing and uncertain. If I'm negotiating I don't give damn about past precedents in compensation when the survival of a company is at risk. At some point the negotiators should have said "NO" to the union's ever-increasing demands. The bottom line is do the workers want the company to survive or not? It doesn't do employees any good to have sky high wages and benefits knowing their plant is closing in six months or 12 months. Of course that's easy for me to say all this, I don't have to explain to the shareholders why my company was shut down due to strikes for three months and they didn't get their quarterly dividend.

posted 01-24-2006 12:33 PM         

I read an article in our Detroit paper, that Ford has way too many product lines and models and that they need to pare that down. Also heard they probably won't be building minivans anymore.

posted 01-24-2006 07:58 PM         

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Good to see many people responding with their opinions.

Let's see others post their thoughts as well

posted 01-24-2006 08:29 PM         

...a company called Mataldyne purchased the plant and the local workers had a choice of staying at 50% wages or transfering to another plant....many are still waiting...

...locally the economy has been hurt to some extent but not alot yet due to several factors....most of the layed off workers are still drawing a large portion of their checks for not working....the new jobs at Metaldyne have given lots of people jobs at $12 per hour where they were making $6-8 at the Pizza Hut...