Wednesday, January 31, 2007

Two Chrysler engine plants cut production for Durango

Posted Tuesday, January 30, 2007 at 5:56 pm

Two Chrysler plants in Detroit which supply engines for the Dodge Durango are experiencing cut backs in production, The Detroit News reported today.

Chrysler’s Mack I plant, which assembles the 4.7-liter engines, already has laid off 250 of its 780 workers. It has reduced engine production from 1,350 to 850 engines, the Detroit News said, based on a letter from the United Auto Workers union distributed to its members.

The Mack II plant, which assembles the 3.7-liter V6 engines, also is expected to see a decline in production from 1,600 engines to 1,400.

The two engine plants employ about 1,500 people represented by UAW Local 51 in Detroit.

Analysts said the reduction of the engine plants is a sign of the company’s efforts to limit production of weak products such as the Durango for which there hasn’t been a lot of consumer demand.

The letter from the UAW Local 51 was distributed to workers at a time when the company is finalizing its restructuring plans for the company, including closing assembly plants. Analysts speculate the Newark plant, which employs 2,100 workers, is in

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