The documents revealed that up to eight plants in the U.S. will be closed but it appears no employees will be retrenched. Speaking with Automotive News, Chrysler spokeswoman Dianna Gutierrez said the alliance with Fiat would allow the carmaker to “retain substantially” all of its employees.
Furthermore, Chrysler expects the alliance with Fiat, which is subject to modification by the bankruptcy court, to add about 5,000 employees, Gutierrez explained. Current employees would be offered employment in the new company.
The actual plants involved include the Sterling Heights Assembly Plant in Michigan, Detroit Axle in Michigan, Conner Avenue in Michigan, St. Louis in Missouri, Kenosha in Wisconsin, Twinsburg in Ohio, and two already idled plants in Delaware and another St. Louis.
Chrysler is yet to confirm the plant closings, as the information revealed was sourced from a preliminary draft bankruptcy petition prepared by Robert Manzo, executive director of Capstone Advisory Group, one of Chrysler's advisers. The document also revealed that Chrysler would be split itself into two legal entities - an "OldCo" that would retain these eight plants and other liabilities not and a "NewCo" that would remain after the restructuring.
Sadly, one of the plants included - Conner Avenue – is responsible for the Dodge Viper, which Chrysler is currently trying to sell the rights to.