-------------------------
Via Workers World News Service
Reprinted from the Feb. 8, 2001
issue of Workers World newspaper
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TIME TO FIGHT BACK: DAIMLERCHRYSLER ZAPS 26,000 JOBS

By Martha Grevatt

The writer has worked at the Twinsburg, Ohio stamping plant 
of the DaimlerChrysler corporation for 13 years and is an 
active member of UAW Local 122.

Jan. 29 should have been like any other "blue Monday" in the 
life of an auto worker. For DaimlerChrysler workers in North 
and South America it was anything but ordinary.

On that day management informed the work force that it plans 
to cut 26,000 jobs--20 percent of the work force of the 
former Chrysler Corp.--by the end of February.

While DaimlerChrysler's was the biggest layoff, it was only 
one of many throughout the U.S. economy. Seven steel 
companies, including Cleveland-based LTV steel have filed 
for chapter 11 bankruptcy, and LTV nearly shut down all 
operations in December.

The slowdown is not limited to the industrial sector. 
Amazon.com announced 1,300 layoffs on Jan. 30.

DaimlerChrysler Management immediately tried to minimize 
worker response by promising early retirement buyouts to 
reduce the number of layoffs. But the bosses stated 
unequivocally that the cuts are "absolutely necessary" and 
that permanent layoffs would begin Feb. 28.

DaimlerChrysler plans to close six plants. The company says 
it will eliminate an entire work shift at seven more.

These layoffs and plant closings will have the deepest 
impact on oppressed workers of color worldwide. Of the six 
plant closings, three will be in Mexico, one in Argentina, 
and one in Brazil.

These workers will be left penniless--with no unemployment 
benefits, no pension, no lump-sum buyouts, nothing to show 
for their years of super-exploitation.

The sixth, Mound Road Engine, is just outside the 
predominantly African American city of Detroit, which has 
suffered deeply as a result of previous auto plant closings.

All the U.S. layoffs will disproportionately hit workers of 
color and women. They are among the workers with lower 
seniority. And they are underrepresented in the less 
vulnerable skilled-trades positions.

The impact of these job reductions on currently employed 
workers will be lessened by the Supplementary Unemployment 
Benefits that the United Auto Workers negotiated decades 
ago. After 42 weeks of layoff, workers must be either called 
back or placed in a "job bank" where they receive 40 hours 
pay while doing "nontraditional" work.

However, workers with less than three years seniority are 
not eligible for the job bank. Workers with less than one 
year of seniority do not receive SUB.

And funding for both the job bank and SUB could run out 
before the contract expires in 2003.

DAIMLERCHRYSLER PROMISED NO LAYOFFS

At the time of the merger between Chrysler and Daimler-Benz, 
workers were promised that there would be no job cuts.

The Detroit-based Job Is a Right Campaign pointed out in a 
leaflet issued after this latest announcement: "Two years 
ago, Daimler-Benz, AG, bought out Chrysler Corporation in 
the biggest industrial merger ever. In order to get U.S. 
government approval for this buyout from the Federal Trade 
Commission and the Securities Exchange Commission, and to 
mute opposition from the UAW and the public, Daimler-Benz 
promised that this would be a merger of equals.

"DaimlerChrysler Chief Executive Officer Schremp now says 
that this talk of a merger of equals was simply a public-
relations ploy to get U.S. government approval for the 
buyout of Chrysler.

"Chrysler built up a $9 billion reserve for future product 
development off the backs of its workers through its lean 
production techniques. Now Daimler has taken this fund to 
acquire a controlling interest in Mitsubishi, buy Detroit 
Diesel, start a sizable joint venture with Caterpillar, buy 
into more commercial truck ventures, and make numerous other 
purchases in the last two years."

Yet the bosses have the nerve to cry poverty when it comes 
to paying workers' wages.

There is no reason to assume that these already drastic cuts 
will not be followed by another wave of cuts down the road. 
The entire auto industry is heading into a recession, as are 
the steel industry and other sectors of the economy. These 
immediate effects of capitalist overproduction are coming in 
just the earliest stages of a worldwide economic slowdown.

Now, not later, is the time for the auto unions in both 
North and South America to launch a struggle to defend their 
right to their jobs. If there is less work to perform, 
whether it is due to automation or capitalist 
overproduction, let there be a shorter work week with no cut 
in pay.

>From Canada to Argentina, workers need a united campaign for 
a moratorium on layoffs and plant closings. If the bosses 
won't keep the plants open, then let the workers take over 
and run them themselves.

DaimlerChrysler workers would do well to follow the example 
of General Motors workers across the ocean. 40,000 GM 
workers throughout Europe simultaneously laid down their 
tools Jan. 25 in solidarity with workers whose plants were 
scheduled to be closed.

>From the AJRC leaflet: "Only the DaimlerChrysler workers can 
protect their own jobs and livelihoods! With a recession 
looming, launching a struggle to protect the jobs of the 
Chrysler workers can set the tone for the coming battles 
against the plant and office closings and layoffs which will 
be affecting millions of workers in the next period."

- END -

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