Mercedes offers buyouts to all Alabama workers

[Bill Wood]

Filed under: Hirings/Firings/Layoffs, Plants/Manufacturing, Mercedes-Benz





Nearly 4,000 employees of the Mercedes-Benz assembly plant in Vance, Alabama, are being offered buyouts in advance of another expected round of production cuts at the facility in January. The Vance plant produces the M-Class sport utility, R-Class crossover and GL-Class full-sized sport utility for the Mercedes-Benz lineup. In July, Mercedes slowed production for the first time in more than a decade of U.S. production as rising gas prices in June drastically cut sales. Although the buyout packages are being offered to all employees, Mercedes spokespersons are quick to point out that these are not to be considered layoffs. In fact, the automaker will only hand out an undisclosed limited number of buyout packages as it makes changes to the plant to bring production back in line with demand.

Alabama has been hard hit this year by the global auto industry slump. The state's automotive industry is 134,000 workers strong, and the sobering news from Mercedes-Benz only adds to earlier production cuts from Honda and slowdowns from Hyundai, two other automakers with assembly plants in the Heart of Dixie.

[Source: AL.com]

Mercedes offers buyouts to all Alabama workers originally appeared on Autoblog on Tue, 04 Nov 2008 09:58:00 EST. Please see our terms for use of feeds.



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Autoblog
11-04-2008 10:58 AM

[Dee8go]

I had no idea they had so much auto manufacturing going on in Alabama.

[pj67coll]

Originally Posted by Dee8go

I had no idea they had so much auto manufacturing going on in Alabama.

Many years ago when Mercedes were looking around to set up shop in the US Alabama emerged as one of the top contenders. Can't quite remember why but I believe the concentration of high quality education in the area was touted as one of the reaons. That and lack of a union presence I think.

- Peter.

[oldsinner111]

They need to build them back at Stuttgart,and stop outsourcing to India and U.S. When you pay for a German Car,you want it to be German.

[matthias08]

yea. our GL... you slam the door. doesn't sound any different from our suburban. although the GL will start to cry a bit

[Dee8go]

Originally Posted by pj67coll

Many years ago when Mercedes were looking around to set up shop in the US Alabama emerged as one of the top contenders. Can't quite remember why but I believe the concentration of high quality education in the area was touted as one of the reaons. That and lack of a union presence I think.

- Peter.

I noticed the union was offering concessions to the automakers in Detroit. I dobt it'll be enough to save them, but at least it's a step in the right direction.