FCA Will Temporarily Lay Off 3,245 Workers In Italy As Maserati Levante Sales Drop

Fiat Chrysler Automobiles (FCA) is getting ready to restructure the Mirafiori plant in Turin, Italy, at the temporary expense of approximately 3,245 blue- and white-collar workers.

Unions were already informed about the decision on Tuesday, reports AutoNews, which will be effective on January 1, 2019, when 2,445 employees will be sent home, followed by another 800 or so by March 4.

The news outlet says the layoffs will last until December 31, 2019, and during this time, employees will receive reduced salaries, coming from a program funded by FCA and the Italian government.

Also Read: FCA To Build More Jeeps, New Alfa Romeo SUV And Maserati Alfieri In Italy

Workers will also attend training for electric and hybrid powertrain technologies, as the Mirafiori plant is getting ready for EV production in 2020, when the next-gen Fiat 500e will be assembled at the site.

Home to roughly 5,000 employees, the Mirafiori facility is Fiat’s oldest factory in Italy and has been under-utilized since the 2008/2009 global recession. This is where the Punto, first-gen Panda and Alfa Romeo MiTo used to come to life, but the only vehicle still in assembly there is the Maserati Levante.

Sales of the Trident’s first-ever SUV fell by 24 percent in the first 10 months of the year in Europe to 3,777, while in the United States, they dropped by 14 percent, to 4,205 units.

FCA will continue to assemble the Maserati Levante at Mirafiori during the temporary layoffs, with employees reportedly taking turns in going into the factory and staying at home.

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  • HaltestelleLuitpolthafen

    Dropping sales? Could be due to the fact that it is hideous, unreliable, and overpriced with the worst resale value in the segment….

  • GobbleUp

    Could anyone be surprised? Very small market for a non competitive SUV.
    Restructure, sale, divest coming for the brand.

  • charlie bear

    Car industry is slowly dying in Italy. What a sad time.

  • D3X

    Not surprised. The car although supposedly an exotic has a look similar to that of a Mazda CX-5, KIA Sportage, Hyundai Tucson crossed together. With other Luxury competitors like the Audi Q5, Volvo XC60, BMW X3 with a better build quality and styling, the Levante is doomed.

    • Michelin

      FCA seems not so bad, thanks to big Jeep ann RAM investments. GM and FORD shows bigger problems in last days. N.A. sales of FCA are growning and Now is time to push Alfa Romeo, Maserati and FIAT new models.

      • driv3r

        FCA is more or less solely dependent on Jeep and RAM. There haven’t been any real new Fiat products since the Tipo and that isn’t selling like hot cakes. The Fiat 500 is an old model as is the Panda (just scored a 0 star rating at EuroNCAP test) and I can’t see any new Fiat products coming any time soon.
        Alfa Romeo was supposed to be a bigger and stronger brand by now but the Stelvio and Giulia have lost some of their sales power within the first one/two years on the market (similar to the Jaguar XE for example). Maserati was just about to gain some traction with the Levante but sales of all their models are crippling again. Chrysler is just a shadow of it self.

        One can only hope that their “master plan” unveiled some months ago will for once truly work out. I can see that Maserati as well as Alfa can be strong brands. But just one praised Giulia or Stelvio Quadrifoglio isn’t enough to get some piece of the market agains the very strong German 3.

  • ➡️ProtectOurHeritage⬅️

    More evidence that European over-regulation and greedy globalists are crippling the car industry and harming the European manufacturing economy.

  • europeon

    Happens every year, and this is on top of the NEDC fiasco.
    May I remind everyone that Maserati was struggling to sell 3-4k units/year a few years back – before the introduction of the Quattroporte VI, Ghibli III, and Levante – but today they sell ~60k units/year.

    Show me another manufacturer that had a 10-20x increase in sales in the past 4 years before saying anything else about cuts and poor sales.

    • Mark Hawthorne

      But before they weren’t paying back hundreds of millions of Euros in development costs that have been amortised over projected sales volumes they are not achieving. Yes, they have had huge percentage growth but nothing like their own forecasts and nothing like enough to generate sufficient returns to make the brand self-sufficient (or even to make it worthwhile to refresh or replace these models). Percentage increases count for nothing. Achieving the forecast sales that justified the investment is all that matter in business.

  • javier

    cuz the car is friggin disgusting

    • TB

      Yep…that sums it up…I don’t think any additional posts are needed.

  • HAPPY NEW YEAR.

  • StrangerGP

    You can like or hate the styling, but it doesn’t change the fact that all Maseratis are overpriced and what’s worse their depreciation is huge.

  • Mark Hawthorne

    You’re missing the point totally. Its not the size of the increase it’s servicing the debt. They have a huge development budget to pay back. They spent the money with an expectation of a return based on volume (100k+ from
    Contemporary interviews) and they are massively behind that. Impressive growth in percentage terms, woeful failure against their own expectations and forecasts

    • europeon

      You mentioned Bentley, I provided some data.
      And about the forecast, they said they will limit the production at 75k units a year, and their goal was 50k – which I guess they set up because at point they would be “self-sufficient” enough, otherwise they would have set 200k or 500k / year. Granted, they were supposed to reach 50k in 2015-2016, but that’s because marchionne’s unrealistic expectations and bad leadership.
      So, what point am I missing exactly?

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