STERLING HEIGHTS, Mich. (WXYZ) — John Maynard did not expect the CEO of his company to resign suddenly, but he sure was welcoming it.
"About time," said Maynard. "The things he's been doing just doesn't sit right for me."
Maynard has worked at the Sterling Heights Assembly Plant for years and says the reign under CEO Carlos Tavares has left morale low.
"They're definitely very worried about the future, uncertain about things that's happening," Maynard said.
At his plant, 200 workers were laid off in September; another 1,100 were laid off a month later at the Warren Truck Assembly Plant. The company warned more could be on the way.
"Definitely needs to change. Seems all the information I've been getting, it's coming directly from him," said Maynard.
The United Auto Workers union has been vocal about their disapproval. President Sean Fain labeled it failed leadership in a statement:
The UAW welcomes the resignation of Stellantis CEO Carlos Tavares, a major step in the right direction for a company that has been mismanaged and a workforce that has been mistreated for too long. For weeks, thousands of UAW members at Stellantis have been calling for the company to fire Carlos Tavares due to his reckless mismanagement of the company. We are pleased to see the company responding to pressure and correcting course.
Tavares is leaving behind a mess of painful layoffs and overpriced vehicles sitting on dealership lots. We look forward to new Stellantis leadership that respects hardworking UAW members and is ready to keep its promise to America by investing in the people who build its products.
We will keep using all means available to hold Stellantis accountable and enforce the contract we won in 2023, including advancing strikeable grievances until Stellantis keeps its investments and commitments to workers in Belvidere, Michigan, and beyond. We are looking forward to sitting down with the new CEO, backed up by thousands of UAW Stellantis members ready to take action, and discussing their plan to keep making world-class vehicles here in the United States.
Dealers nationwide also called for the resignation of Tavares in September.
Dealer Letter to Stellantis CEO by WXYZ-TV Channel 7 Detroit on Scribd
"To me, the real surprise is that this did not happen several months ago," said John McElroy, Auto Industry Analyst with Autoline.
McElroy says high prices and low sales and having an impact.
"Dealers are in open revolt against Stellantis because it has products that are way too expensive, and dealers have way too much inventory on their lots. That's improving, but it's still a bad situation."
The search is already underway to replace Tavares as employees brace for what's next.
"It's been kinda iffy as to what really is going on. So, I don't know, we'll see," said Maynard.
Until a new CEO is named, a new Interim Executive Committee is running the automaker.
