Probably not, if its recent sales performance was taken into account. Up to June of this year, the firm has sold only 53,883 vehicles, down 23 percent off last year. To put it in perspective, that is about the number of Corollas that one time rival Toyota sells in a month.
In light of this, Mitsubishi North America has announced that it will be cutting 105 employees from its union workforce at its Normal, Illinois manufacturing site. At the plant, Mitsubishi assembles models like the Galant sedan and Eclipse sports coupe. As part of the deal, each employee will be given a lump sum payment of $85,000 and three months of health coverage. 85 large just to get fired? How much were these guys and gals making in the first place?
Apparently the severance package is so popular that Mitsubishi is having to fend off a number of employees who appear very eager to take the money and run. According to Mitsubishi spokesman Dan Irvin, the severance package is available to employees first on a basis on seniority, “We have enough volunteers (for the program). We have plenty.”
So why do so many Mitsubishi employees want to be well paid ex-employees? To us, this looks a bit like the proverbial rats leaping off a sinking ship. If the automaker is forced to pull out of the North American market and shutter its only plant, the likelihood of such a sweet deal repeating itself is slim, remote and none. And no one knows the rumblings of future events in a job situation like union employees.
Call it a recession, era of diminishing returns or a depression, the economy in this country is showing no signs of improving in the immediate future. For medium sized car companies like Mitsubishi, trying to make it on their own in this country it means an uncertain road ahead. Let’s just hope for the sake of the rest of employees that sales don’t continue their current slide.
Our view? In order to enjoy the bliss that is the Lancer EVO, some of us are going to have to man up and buy some plebian Galant sedans. Come on now, it is for the good of all of us.
via Pantagraph