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Jeep to expand Toledo Assembly Complex

by David Zatz on

Jeep will spend at least $365 million in an expansion of the Toledo Assembly Complex, adding a second shift to the plant that builds the Jeep Liberty and Dodge Nitro, according to Larry Vellequette of the Toledo Blade. This exclusive and reliable report notes that over 1,100 jobs will be added, and that this might be the first of a number of expansions at the site to accommodate rising global demand.

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Mr. Vellequette wrote that while Chrysler’s formal plans only include a second shift, a third shift could be added several years from now if demand continues to increase. He obtained his information from a city tax abatement application to be discussed today. uncovering an $8 million body shop expansion and $357 for retooling and re-equipping the complex. The regional economy would be boosted by the construction and machining jobs. The expansion is set to be finished by 2013, and would add $36 million in payroll, mainly in $14.65/hour production jobs (Chrysler has no laid-off hourly workers who can bump to the Toledo plant, according to spokesman Jodi Tinson, as quoted in the article).

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The Toledo Assembly Complex, including the Wrangler plant, is expected to be able to build up to seven different vehicles, where now it can build up to four. The UAW local agreed to numerous job, pay, and work-rule concessions, increasing productivity and cutting absenteeism at what was already one of North America’s most productive assembly plants.

[The original article at the Toledo Blade has many additional details.]

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David Zatz founded Allpar in 1998 (based on a site he had begun in 1993-94), after years of writing reviews for retail trades. He has been quoted by the New York Times, the Daily Telegraph, the Detroit News, and USA Today. Before making Allpar a full-time career, he was a consultant in organizational psychology. You can reach him by using our contact form (much preferred) or by calling (313) 766-2304

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