Re: DC to cut 6000 jobs

From: Andy Levy (andy.levy@gmail.com)
Date: Wed Jan 25 2006 - 10:28:13 EST


Gotta wonder though how much of those are merely threats, hoping for
political "concessions" to keep the plants open and jobs filled.

All 3 US automakers really need to get their acts together though,
building quality cars that people actually want, at competetive
prices. And do some research before launching a product - last I
heard the Ford Freestyle was slated to end after the '07 model year,
and it was introduced as an '06! How much money did they waste there
(granted, it's on the Five Hundred platform, but still...)?

On 1/25/06, Bill Day <billday@otecom.net> wrote:
>
> I guess that would be better then Ferd cutting 30k jobs over the next 6
> years... and clsoing 14 plants...
>
> On Tuesday January 24 2006 5:24 pm, Josh wrote:
> > DaimlerChrysler to Eliminate 6,000 Jobs
> >
> > By DAVID McHUGH
> > Associated Press Writer
> > Published January 24, 2006, 10:04 AM CST
> >
> >
> > BERLIN -- The automaker DaimlerChrysler AG said Tuesday that it would cut
> > administrative staff by 20 percent worldwide over three years, dropping
> > 6,000 jobs in order to save some $1.2 billion a year and make the company
> > leaner and more profitable.
> >
> > CEO Dieter Zetsche said the streamlining would boost growth and profits by
> > removing layers of management and improving cooperation between its
> > divisions, especially Mercedes and Chrysler. Some 60 percent of the jobs
> > to be cut would be in Germany, he said.
> >
> > "Our objective in taking these actions is to create a lean agile
> > structure, with streamlined and stable processes that will unleash
> > DaimlerChrysler's full potential," Zetsche said in a statement. "We're
> > going to build on a strong product portfolio."
> >
> > The cuts would amount to 30 percent at the management level and would
> > cover areas such as accounting, auditing, personnel and strategic
> > planning. The downsizing would cost the company around $2.4 billion in
> > restructuring costs from 2006 to the end of 2008.
> >
> > DaimlerChrysler shares gained more than 5 percent to 44.67 euros ($54.68)
> > in Frankfurt trading. Its U.S. shares rose $2.46, or 4.7 percent, to
> > $54.70 in morning trading on the New York Stock Exchange.
> >
> > The plan envisions elimination of administrative jobs that duplicate work
> > at the corporate and production level, the company said. Underlining its
> > emphasis on a sharper focus on manufacturing functions, top management
> > will leave the landmark office tower in the Moehringen district of
> > Stuttgart and move to offices at the production facilities in the city's
> > Untertuerkheim district in order to be physically closer to the assembly
> > line.
> >
> > The company's other headquarters will remain in Auburn Hills, Mich.
> >
> > The DaimlerChrysler announcement came a day after Ford Motor Co., the
> > second biggest U.S. automaker, said it was cutting up to 30,000 jobs and
> > closing 14 facilities by 2012. Ford had previously indicated it was
> > cutting about 4,000 salaried positions by the end of the quarter.
> >
> > General Motors Corp., the world's biggest automaker, announced a
> > restructuring plan in November that will shave its work force by 30,000
> > and close 12 North American facilities.
> >
> > On Tuesday, Zetsche also promised closer cooperation between the Mercedes
> > and Chrysler divisions, another step in the long process of integrating
> > the company's German and American halves, combined by the merger of
> > Daimler-Benz and Chrysler Corp. in 1998.
> >
> > But Zetsche said the company would resort to clearly defined "project
> > houses" combining engineering talent from different divisions. As examples
> > he cited the company's current effort to develop what it calls the world's
> > cleanest diesel technology, BlueTec, involving commercial vehicles,
> > Mercedes and Chrysler, or Chrysler's use of Mercedes' rear-wheel drive
> > expertise on its successful 300C model.
> >
> > At the same time Zetsche vowed "a clear priority within this effort will
> > continue to further strengthen brand identity" between the German and
> > American brands.
> >
> > Further changes announced Tuesday include the reorganization of 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 Zetsche's decision
> > to combine his duties as top boss with running the company's Mercedes
> > group. Zetsche headed the U.S. Chrysler division and then Mercedes before
> > taking over the top job from Juergen Schrempp on Jan. 1.
> >
> >
> >
> > Copyright (c) 2006, The Associated Press
>
> --
>
>
> Bill Day
>
> "A rich man isn't always wealthy, he just has all the love he can give and
> ever wanted.."
> http://counter.li.org #384146 284016
>
>

--
Andy
http://home.rochester.rr.com/alevy/
---
Never tell people how to do things. Tell them what to do and they will
surprise you with their ingenuity.
-George S. Patton



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