Chrysler 2011 Annual Report Download - page 69

Report on
Operations
68
Human
Resources
On August 9th, a similar arrangement was reached for the FGA plant in Pomigliano d’Arco (valid for a period of
24 months ending 14 July 2013), which will provide income support for workers who will be gradually involved
in the production on the new Panda.
Outside Italy, recourse to production stoppages continued to be necessary in 2011, with the use of Chômage
Partiel in France, Expediente de Regulación de Empleo in Spain and Kurzarbeit in Germany. Poland also suffered
the effect of continuing difficulties in European markets. At the Tychy plant, Fiat Auto Poland managed the
decline in production volumes through discontinuation of Saturday shifts and a reduction in temporary positions
(more than 400 since September).
In Brazil, in December 2010 the Group broke ground for construction of a new plant at Pernambuco and in March
2011 an agreement was signed with unions that will regulate the Group’s activities at Pernambuco, in addition to
serving as a basis for those of some 30 suppliers that are to locate in the area. Negotiations on pay conditions
were completed in October 2011. At the plant in Betim, the requirement to further increase production levels
led to conclusion of an agreement on 24 January 2011 enabling Fiat Automòveis, Fiat Powertrain and Comau
to operate two shifts on Saturdays and to reduce collective holidays during the Carnival period. Combined, this
will enable an increase in production of some 90,000 vehicles per year.
Several agreements were concluded during the year in Italy to reduce personnel who qualify for retirement during
the period of mobilità (a government-funded redundancy benefit). No significant restructuring or reorganization
initiatives were launched in other countries during the year.
Despite general economic conditions, the Group was able to convert more than 5,000 employees worldwide
from temporary to unlimited term contracts. This included 562 workers in Italy, 1,058 in Poland, 973 in Mexico,
1,675 in Brazil and 435 in the United States.
World Class Manufacturing (WCM)
The Group continued with implementation of the World Class Manufacturing program, which is now in place at
106 plants, representing 97% of the Group’s total manufacturing costs.
“WCM
implemented
at 106 plants
representing
97% of total
manufacturing
costs”