Breaking News: Chrysler to Lay Off 25% of its Salaried Workforce or 4,300 Jobs

Sadly for Chrysler LLC workers, these cuts are is in addition to previously announced actions. According to the American automaker, the adjustment to workforce levels will be accomplished through a combination of programs, including voluntary retirements and salaried employee buyouts. Chrysler said that details on the new voluntary programs will be made available to salaried employees in the next two weeks (Oct. 24-Nov. 5, 2008) while involuntary separations will take place by the end of December.

The company also told employees that in order to control control spending, it would "cut back on all discretionary and overhead expenses and reduce capital expenditures not connected to major product programs".

"These are truly unimaginable times for our industry. We continue to be in the most difficult economic period most of us can remember," said Bob Nardelli, Chairman and CEO, Chrysler LLC. "The combination of troubled financial markets, difficult credit, volatile commodity prices, the housing crisis and declining consumer confidence continues to weigh on the economy."

"Never before have auto industry sales contracted at such a fast rate. Throughout this challenging time for our industry and our company, we have continued to face the realities of our business environment, and working as a team, we have been right-sizing our organization to become as competitive as possible," added Nardelli.