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200 jobs eliminated at Tipton Stellantis plant

A spokesperson cited "lower volumes impacted by downtime and other production actions taken as a result of the global microchip shortage."
Credit: Tim Bath/Kokomo Tribune
A March 3, 2020 file photo of the 9-speed transmission assembly line at Stellantis' Tipton, Indiana assembly plant.

TIPTON, Ind. — About 200 jobs at Stellantis' Tipton Transmission Plant have been permanently eliminated, according to our newsgathering partners at the Kokomo Tribune.

A company spokesperson cited "lower volumes impacted by downtime and other production actions taken as a result of the global microchip shortage" in announcing that one assembly crew would be removed.

The spokesperson said the affected employees would likely be relocated to other area facilities. The new Kokomo Engine Plant is slated to open by year's end.

Major layoffs at an Illinois Stellantis plant were announced last week. Four hundred workers at the Belvidere Assembly Plant will lose their jobs in January 2020. The microchip shortage was blamed for the layoffs at the plant, which builds the Jeep Cherokee.

RELATED: Stellantis investing in hybrid transmission manufacturing at 3 Indiana plants

In a statement, the company said it would "make every effort to place laid-off hourly employees in open full-time positions as they become available based on seniority."

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