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[BUSINESS] · Spain · 7 sources

Stellantis to cut 175 jobs at Madrid plant amid production cuts

Stellantis announced an employment regulation file (ERE) that will affect 175 workers at its Villaverde plant in Madrid. The measure follows a revision of production forecasts, with the plant’s 2026 target reduced to about 53,500 vehicles – a 43% drop from the previous year. The company also plans an ERTE that could see 89 temporary job reductions from August to year‑end.

The firm stresses that the plant’s future is "guaranteed" after the May transfer of ownership to its Spanish subsidiary of the Chinese brand Leapmotor, part of a joint venture that will see two D‑SUV models assembled there. Union leader Mariano Hoya of UGT‑FICA reiterated, "El futuro está garantizado," after visiting Stellantis' Vigo factory. The restructuring will not affect the nearby Vigo plant, which continues its production plans.

Stellantis will offer voluntary or negotiated exits as part of the ERE, with negotiations beginning imminently.