Stellantis Offering Employees Up to $72,000 to Quit

Facing economic uncertainty, Stellantis is offering voluntary buyouts to UAW workers at over 20 facilities.

Stellantis is offering voluntary buyouts to hourly United Auto Workers (UAW) employees at more than 20 facilities in Detroit and Toledo, with payouts reaching up to $72,000, The Detroit Free Press Reported. The move comes as the company aims to improve efficiency amid ongoing market uncertainty, namely a slew of tariffs from the Trump administration set to hammer U.S. automakers.

Who is eligible?

The buyout offer applies to employees at major Stellantis plants, including the Sterling Heights Assembly Plant, Warren Truck, Detroit Assembly Complex, and Toledo Assembly Complex, among others. To qualify, employees must have at least one year of service.

How much is Stellantis offering?

The buyout packages vary based on seniority. Employees with 1-15 years of service at the company can receive a $50,000 payment. At the top range, employees with 25 years or more of experience can receive a $72,000 payment.

Additionally, workers who accept the offer will receive six months of medical benefits, excluding dental coverage. However, management retains the right to decide who can accept the buyout, and some employees may be required to remain on the job until September 30.

Why is Stellantis offering buyouts?

The automotive giant, which owns Jeep, Ram, Chrysler, Dodge and Fiat, has faced financial difficulties in recent years. In 2024, Stellantis experienced declining sales and high inventory levels, forcing it to adjust vehicle pricing and increase marketing efforts. These buyouts follow multiple rounds of job cuts last year that drew criticism from the UAW.

“Stellantis continues to review its operations to improve efficiency and protect its competitiveness in a very dynamic market,” Stellantis spokeswoman Ann Marie Fortunate said in a statement. “To help in that effort, the company announced that it is offering voluntary termination of employment and retirement incentive packages to represented production employees at its manufacturing and Mopar facilities in Detroit and Toledo as well as production, skilled and salaried bargaining unit employees at its facilities in Illinois.”

The union's response

UAW Stellantis Department Director Kevin Gotinsky blamed the need for buyouts on "the mess left behind" by former CEO Carlos Tavares, who stepped down in 2024. He emphasized that the union worked hard to secure options for workers, including retirement incentives and voluntary terminations.

"We negotiated a package with the company’s new leadership team that gives workers as many options as possible," Gotinsky said. "For those ready to retire, there’s a clear path. For others, voluntary termination is now on the table."

Final thoughts

While the buyout program is open until May 8, it remains unclear how many employees the company is looking to cut. With looming trade tariffs and economic uncertainty, Stellantis — like many other automakers — is navigating a challenging landscape.

For workers considering the offer, the decision will depend on individual circumstances, but with uncertainty in the auto industry, Stellantis' latest move signals a company preparing for potentially tougher times ahead.