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Frustrated Rockford area officials vow to keep fighting for Belvidere Assembly Plant
Story by Jeff Kolkey, Rockford Register Star • 7h ago
Despite a surprise announcement on Friday that the Belvidere Assembly Plant would go dark indefinitely starting Feb. 28, Belvidere Mayor Clint Morris said the book has not closed on the facility.
There are 1,350 people still working at the plant. The announcement which appeared to leave a door open for repurposing the plant, was a gut punch coming months before the holidays. And it comes after Gov. JB Pritzker had signed a package of tax incentives for investment in the electric vehicle industry and the General Assembly recently amended the bill to expand and enhance it.
"I was surprised," Morris said. "I know the governor's office had been working with our state representatives and local officials. It caught me off-guard. I didn't expect that."
But Morris said he does not think the final chapter has been written on the Belvidere plant where generations have built vehicles since it opened in 1965. Morris said he remains hopeful that if the Jeep Cherokee is not viable in Belvidere, another option will be chosen.
Stellantis — the automaker formed from the 2021 merger of Fiat Chrysler Automobiles NV and French automaker Groupe PSA — owns 14 car brands including Chrysler and Jeep. The company has steadily reduced its workforce in Belvidere since the pandemic citing a microchip shortage and other issues. Now, it has announced plans to "idle" the plant in February.
More:Will major incentive package save Belvidere Assembly Plant from closing for good?
Morris said it was good that Stellantis' announcement did not definitively say the more than 5 million-square-foot plant would be closing for good. It instead left a door open for it to be retooled. The company in part said while the plant is closed it would be "working to identify other opportunities to repurpose the Belvidere facility."
The announcement angered officials with the United Auto Workers, the union that represents workers at the Belvidere facility through Locals 1268 and 1761.
“We are all deeply angered by Stellantis’ s decision to idle the Belvidere Assembly plant without a plan for future product,” said Cindy Estrada, UAW vice president for Stellantis in a statement. “There are many vehicle platforms imported from other countries that could be built in Belvidere with skill and quality by UAW members at Belvidere. The transition to electrification also creates opportunities for new product. Companies like Stellantis receive billions in government incentives to transition to clean energy. It is an insult to all taxpayers that they are not investing that money back into our communities.”
UAW President Ray Curry vowed in a statement to fight back and said the announcement coming just before the holidays showed "cruel disregard" for Stellantis' workers.
“We believe Stellantis is grossly misguided in idling this plant which has produced profits for the company since 1965,” adds UAW President Ray Curry. “Not allocating new product to plants like Belvidere is unacceptable."
State Sen. Dave Syverson, R-Cherry Valley, said he was afraid that Friday's announcement would come at some point, but it remained disappointing.
“While we know Illinois’ jobs climate is not as competitive as it is in other states, this plant is known for the strong productivity of its employees,” Syverson said in a statement. “The skilled workers at this plant have always scored higher than counterparts in other states when it came to productivity. That’s something Stellantis needs to keep in mind.”
State Sen. Steve Stadelman, D-Loves Park, in a phone interview said Stellantis has signaled a willingness to continue conversations about the future of the plant and whether it can be repurposed and retooled.
"You have to take that as a positive sign and keep working," Stadelman said. "We have no other choice. We need to continue to work to make sure there is investment in that plant. But it's frustrating, we passed several bills including one two weeks ago, a second round of incentives, and the most recent round was geared toward existing plants."
Jeff Kolkey can be reached at (815) 987-1374, via email at jkolkey@rrstar.com and on Twitter @jeffkolkey.
This article originally appeared on Rockford Register Star: Frustrated Rockford area officials vow to keep fighting for Belvidere Assembly Plant
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Stellantis to close Illinois assembly plant, lay off workers
BELVIDERE, Ill. (AP) — Hundreds of workers are expected to be laid off when automaker Stellantis closes an assembly plant in northern Illinois early next year, citing the challenge of rising costs related to the electric vehicle market and other factors.
Stellantis said Friday that its Belvidere Assembly Plant will be idled effective Feb. 28 as the company “considers other avenues to optimize operations.”
“This difficult but necessary action will result in indefinite layoffs, which are expected to exceed six months,” Stellantis said in a statement, adding that notices have been sent to hourly and salaried workers.
About 1,350 people are employed at the plant, which produces the Jeep Cherokee. Belvidere is about 70 miles (112 kilometers) northwest of Chicago.
“The company will make every effort to place indefinitely laid off employees in open full-time positions as they become available,” it said.
Stellantis was formed last year with the merger of Fiat Chrysler and France’s PSA Peugeot.
Gov. J.B. Pritzker's administration has assembled a response team from the Department of Commerce and Economic Opportunity to help displaced workers find new employment, said Pritzker spokesperson Jordan Abudeyyeh.
She said the administration will work with local elected officials, community colleges and others to ensure appropriate retraining programs are available, and with Stellantis to find new uses for the Belvidere plant.
In 2016, then-Fiat Chrysler announced it would invest $350 million in the plant to produce the Jeep Cherokee. Production on the Cherokee began there in 2017.
Stellantis said Friday that the automaker is not commenting on the future of the “Cherokee nameplate.”
“This is an important vehicle in the lineup, and we remain committed long term to this mid-size SUV segment,” company spokesperson Jodi Tinson said in an email.
Stellantis, which also pointed to the coronavirus pandemic and global microchip shortage as challenges to the auto industry, said it is working to identify opportunities to repurpose the Belvidere facility.
Above is from: Stellantis to close Illinois assembly plant, lay off workers (msn.com)
