The company reported losses of $512 million in the third-quarter last year, and $1.25 billion in the fourth-quarter due to slowing sales. "The markets are deteriorating, and our company's performance even more so. Competition is brutal," said Dieter Zetsche, Chrysler's new CEO at a news conference in Detroit.

Officials of the Canadian Auto Workers union said they will work with the company to slow production at the Windsor, Ontario, plant rather than cutting jobs. The union also said that they will not negotiate concessions or open any three-year contracts signed in 1999.

The workforce affected will include 19,000 hourly workers and 6,800 salaried employees. The six plants to be closed by the end of 2002 include three plants in Mexico, others in Argentina and Brazil, and an engine plant in Detroit.

The 26,000 job cuts has added to the wave of thousands of other job losses announced by U.S. corporations. CNN Financial News reported that nearly 68,000 layoffs have been announced by several companies in the last six days alone. In December 133,713 jobs were eliminated.
 
 
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