Thousands of Stellantis workers went on strike on Friday, protesting in Rome against temporary layoffs and production stoppages by the maker of Fiat and Jeep in Italy.
The unions called on the group’s 40,000 employees in Italy and workers at its suppliers to stage a national 24-hour strike to demand job guarantees and the production of new models.
Some 15,000 demonstrators were expected for “a historic strike the likes of which has not been seen for more than four decades” at the factories of the former national flagship Fiat, union organizers said.
The Italian carmaker merged with US Chrysler in 2014 and with France’s Peugeot-Citroen (PSA) in 2021 to form the Stellantis group, with more than a dozen brands including Alfa Romeo, Dodge and Maserati.
After three years of growth, market conditions are now difficult, including low demand for expensive electric vehicles.
Production in Italy fell 31.7 percent to 387,600 vehicles in the first nine months of 2024, according to metals union FIM-CISL, which said this was “the worst figure since 1956”.
It expects the company to produce “fewer than 500,000 vehicles” this year, compared to more than 751,000 in 2023.
Production stoppages and temporary layoffs have caused tension between the company and Rome.
Under increasing political pressure, Stellantis boss Carlos Tavares pledged in July 2023 to increase production to one million units by 2030.
That goal now seems unattainable.
Electric vehicle sales in Europe have been stagnant since the end of 2023, mainly due to a lack of affordable models.
Stellantis also blames a delay in the Italian government’s launch of incentives for purchasing electric cars.
Meanwhile, Brussels has banned the sale of new cars with internal combustion engines by 2035 as part of efforts to curb man-made climate change.
Two days before the strike, Stellantis said several of its Italian factories would halt production again in November to regulate output, citing “the drop in orders in the electric vehicle market in Europe.”
Production of the electric version of the iconic Fiat 500 at the Mirafiori factory, near Turin, was suspended in mid-September until November 1.
Stellantis also announced closures at its Pomigliano d’Arco, Termoli and Pratola Serra factories on several days in November.
Mirafiori, the stage for Fiat’s golden age, is “slowly dying,” Maurizio Oreggia, national car coordinator of the Fiom-Cgil union, told AFP.
Employees have been forced into temporary layoffs, an arrangement that allows companies in crisis to lay off staff for a limited period at lower wages.
“Time is up,” said Rocco Palombella, head of the UILM union.
“The auto industry is dying, we risk an unprecedented social tragedy,” he said.
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