Chrysler/Dodge To Cut Four Models, 12,000 Jobs

Crossfire, PT Convertible, Magnum gone

Chrysler LLC, parent company behind Chrysler, Jeep, and Dodge, announced they will be dropping four different models from its current slate of vehicles.  The casualities include the Chrysler PT Cruiser convertible, Chrysler Pacifica, Chrysler Crossfire, and the Dodge Magnum.

Chrysler is using the vehicle cuts, in part, to justify cutting nearly 12,000 jobs, most of which are hourly positions.  Over 1,000 management personnel are being laid-off as well.  These cuts are in addition to the 13,000 North American terminations that were announced back in February.

The models being cut are hardly a surprise.  Sales for both PT Cruiser variants are down 27% through September, but the model remains Chrysler's third best selling.  Many thought the PT Cruiser wagon would be cut as well, but the company was apparently convinced otherwise by fans of car running popular online petitions in its favor. The Chrysler Pacifica is generally disregarded as being overpriced and bloated.  The Dodge Magnum, redesigned just this past January, will be replaced with the Dodge Journey crossover next year.  The Crossfire and Pacifica will not be replaced.

Chrysler LLC, which employs over 130,000 people worldwide, has essentially announced that they are taking steps to eliminate almost 20% of its workforce by the end of 2008 in effort to more effectively compete with Japanese brands.

Today's announcement came roughly one week after Chrysler employees barely approved a new contract with the automaker.