Stellantis, the parent company of Jeep, Chrysler, and Fiat, has revised its remote work policy, requiring employees to spend more time in the office as it navigates economic challenges and prepares for leadership transitions.
Under the new guidelines, Stellantis will ask employees to be in the office at least three days a week, shifting from the previous policy that allowed 70% remote work, according to Human Resources Chief Xavier Chereau at the Paris Auto Show. “We need to be pragmatic and we are recalibrating,” Chereau said. “If thereās a difficult project that needs attention, then itās all week in the office.ā
The policy change comes amid financial difficulties for the company, with CEO Carlos Tavares facing criticism following a reduction in Stellantis’ profit forecast. The company has also been under pressure from unions in Italy and the United States. Despite supporting remote work during the COVID-19 pandemic, Tavares has adjusted his stance in response to current challenges, with Chereau adding, āGiven what the situation is today, I feel the need to be with my teams more often, to reassure, to communicate, to help make sense of things.ā
Stellantis’ move follows similar steps by other automakers, including Tesla and General Motors, which both required workers to return to the office in recent years. The shift will impact not only engineers but also research and development staff, as the company ramps up efforts to retrain its workforce for the transition to electric vehicles (EVs), an initiative that will involve an investment of 144 million euros ($157 million) in retraining.
Additionally, Stellantis has confirmed it is considering a successor for Tavares, who is set to retire in 2026, with a special committee expected to present a shortlist of candidates by the fourth quarter of next year. The company also announced executive reshuffles, including the appointment of Antonio Filosa as the Chief Operating Officer for North America.
Meanwhile, Stellantis continues to face union pressure. Italyās largest metalworkers union has planned a strike at Stellantis’ Fiat factory in Turin on October 18, citing concerns over declining production. In the U.S., Stellantis is in a legal dispute with the United Automotive Workers (UAW) over the potential reopening of a factory in Belvidere, Illinois. The company has filed lawsuits claiming a planned strike would be illegal, while also alleging the union aims to revive a “jobs bank” program, a claim UAW has denied.
Source: Bloomberg
