With Sales Rising, Chrysler Will Not Shut Down Operations for Two Weeks this Summer
Chrysler Group LLC has ended a cost-saving requirement that all workers take the same two weeks off during the summer, a company spokeswoman said Tuesday.
For the past two years, cash-starved Chrysler shut down all of its operations during the same two weeks in July that it closed U.S. and Canadian factories as it switched from one model year to the next.
Now, with sales rising and Chrysler reporting a $143 million first-quarter operating profit, the company is allowing its 10,000 U.S. salaried employees to work from July 12 through 23 and take time off during other months, spokeswoman Shawn Morgan said. Factories will be shut down during those weeks, she said.
The staggered vacations will allow Chrysler to continue work on updating its vehicles, she said.
"The company's got an extreme focus on the future product coming out. The company is going to be quite busy," she said.
Chrysler, which was starved for new vehicles under its former owners, Cerberus Capital Management LP, plans to roll out 16 new or updated vehicles by the end of this year, new CEO Sergio Marchionne has said.
Marchionne, who also heads Italy's Fiat SpA, was given control of Chrysler by the U.S. government when Chrysler emerged from bankruptcy on June 10, 2009. The company would have run out of cash and been sold off in pieces without roughly $15 billion in aid from the U.S. and Canadian governments.
More Industry

Kia Closes Out Summer With a Bang
Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.
Read More →
Indiana Dealership Changes Hands
A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.
Read More →
Texas Dealership No Longer in the Family
The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.
Read More →
Genesis Grows California Presence
The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.
Read More →
August Auto Sales a Mixed Bag
An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.
Read More →
EV Market Humming Along
July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.
Read More →
Auto Loan Delinquency Rates Stabilize
Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.
Read More →
EV Sales Recover in Q2
The EV sales roller coaster continues as numbers show improvement, but industry experts predict a year-over-year third-quarter decline and fourth-quarter jump.
Read More →
The Cheapest Hybrids to Fuel
The powertrain is increasing in popularity, in no small part due to its fuel economy. A new report lists the most efficient hybrids on the market.
Read More →
Hybrids and SUVs Gaining Ground
The most recent Kelley Blue Book Brand Watch found that only two nonluxury brands increased in shopper consideration, buoyed by their hybrid and SUV offerings.
Read More →