It was revealed today that Chrysler cut its contractor fees by 5 percent for services not related to car production, effective June 1st. The reduction will last for at least one year. About 80 contracts will be affected, for services involving office workers, custodial and information technology services.
In a statement, the automaker said the move is “part of Chrysler’s ongoing efforts to reduce its cost footprint in a highly competitive marketplace.” Chrysler will allow each supplier to decide how they will achieve the savings, according to company spokesperson Kevin Frazier in an Automotive News report. The numbers of affected workers was not revealed.
The move allows Chrysler to reduce costs without incurring the type of public outcry a pay cut to unionized assembly workers would generate. Put simply, reducing pay to contractors is a heck of a lot easier than slashing hourly pay to UAW workers.



06/04, 10:04 AM
posted by:
jdasch1
This is news?
06/04, 10:06 AM
posted by:
HemiRoadRunner
That’s what I said about the korean guy in jail, who care’s?
06/04, 10:17 AM
posted by:
Jon Luc
Hemi, you do. Or at least you would if you were to loose your livlihood.
06/04, 10:21 AM
posted by:
HemiRoadRunner
^^^^ ?????? Whatever, I guess you know me better than I do. Why do so many geeks get off on argueing on here?
06/04, 11:15 AM
posted by:
johnnycanuck
So someone please explain to me how they can do this. Didn’t they, like, sign a contract with a fixed price and term? I’m sure if you went to Chrysler financial and said as of June 1st I’m going to pay 5% less on my lease they’d assume you were just off your meds.
06/04, 11:18 AM
posted by:
xyunya
HemiRetard, most of posters are are not arguing. They just living proof of your stupidity and arrogance.
06/04, 11:21 AM
posted by:
xyunya
johnnycanuck, it is quite a common practice. In reality, if there is no fixed cost contract, and those are not favored by most service provider due to high risk, contracts are re-evaluated often. If you refuse 10% reduction of fee, your people are let go off the project and company is dropped off the vendor list.
06/04, 1:36 PM
posted by:
HemiRoadRunner
Ok you overgrown nerd. Nice touch on my name by the way, really shows your immaturity dumb@$$. Why don’t you take some grammar lessons? or does the air force not care how retarded you sound while your sorting mail or filling up sand bags?