Union confident in Chrysler future after meeting

By CHARMAINE NORONHA

posted: 39 DAYS 8 HOURS AGO

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TORONTO -The Canadian Auto Workers president said Friday that the union is confident Chrysler Corp. will excel after discussing the company's future with the auto maker's CEO during a lengthy meeting.

Ken Lewenza said Chrysler Group LLC CEO Sergio Marchionne gave the union an update of what he has undertaken during his past 120 days as the new chief officer during a meeting Thursday evening at Chrysler headquarters in Auburn Hills, Mich.

"It was very constructive in terms of determining if Chrysler's going to survive this crisis. Mr. Marchionne is very focused. The best word I can describe for the meeting was focused and a sense of confidence. Chrysler Corp. is going to come out of this crisis pretty good," Lewenza told The Associated Press.

This was the first formal meeting between Lewenza and Marchionne, who took over as CEO from Robert Nardelli on June 10.

The meeting preceded a Nov. 4 unveiling of Marchionne's five-year product and business plan.

Lewenza said the two discussed when Fiat products were coming to Canada and when Chrysler products were going to Europe, but Marchionne did not give the union an exact date.

"I don't think you can expect Marchionne, after 120 days, to start allocating products to plants in Canada or the U.S. He has to clean up and restructure the company first to be able to deliver the goods and that's where he was at yesterday," said the union leader.

Chrysler has been restructuring since it emerged from bankruptcy production in June. As part of its plan, the struggling auto maker cut back on production this summer. The company also laid off 12 percent of its work force in the U.S., or 360 employees, from its field offices and headquarters earlier this month.

Lewenza said the coming months will involve a lot more work on both the company and the union's part as it continues to restructure, but he said Marchionne's track record with Fiat gives him credibility that he will succeed in turning the company around.

Marchionne and other senior executives will outline the company's strategic plan to economists and the media at its annual meeting on Nov. 4.

2009-10-16 16:19:09