Fiat Chrysler To Cut 1,300 Jobs At Sterling Heights Assembly Plant In July

STERLING HEIGHTS (WWJ) - Around 1,300 workers are facing layoffs as Fiat Chrysler says it will eliminate a shift at its Sterling Heights Assembly plant July 5.

UAW Vice President Norwood Jewell calls the move "unfortunate, but not unexpected."

The plant has seen frequent shutdowns, because of poor sales of the Chrysler 200, and Autotrader.com analyst Michelle Krebs says the company just couldn't keep up with the competition in the mid-size car market.

"The Toyota Camry is the number one selling car in America, Honda Accord is not far behind. Those two companies have tremendous loyalty, and Chrysler just could not compete," said Krebs.

"Consumers are preferring sport utility vehicles over small, mid-size and large cars," she said. "We've seen the car part of the market shrink."

The workers laid off at Sterling Heights will have first priority for new jobs at local Fiat Chrysler plants.

WWJ AutoBeat Reporter Jeff Gilbers says that, long term, the plant is expected to shift to production of more profitable Ram pickup trucks.