Stellantis workers to receive $14K profit-sharing payment
Feb. 22—Eligible hourly United Auto Workers-represented Stellantis NV employees will receive a profit-sharing payment this year.
The auto giant, maker of Jeep SUVS and Ram pickup trucks and more, announced Wednesday that the 2022 profit-sharing payment is $14,760 before taxes, though actual payments will vary depending on how many compensated hours an employee worked. There are 40,500 eligible workers nationwide for the payment, which will be paid March 10.
This year's profit-sharing payment is slightly higher than last year's $14,670, which was the largest amount in 35 years.
"The significant contributions of our UAW-represented workforce enabled us to announce strong 2022 second half and full year financials today," Mark Stewart, Stellantis North America chief operating officer, said in a statement. "These results reflect the discipline and determination with which they have approached the new vision for our company. I am proud of what this team was able to achieve last year in spite of the challenges we continued to face."
A new, more generous profit-sharing formula was negotiated into the 2019 collective bargaining agreement between Stellantis NV and the UAW. Under the new agreement, employees receive up to $900 per 1% of profit margin in North America based on individually compensated hours last year. In 2022, the auto manufacturer U.S. profit margin was 16.4%.
In a statement, Rich Boyer, UAW vice president and director of the union's Stellantis department, said the new formula "more accurately reflects the contributions of UAW members to the success of Stellantis."
"Our members are the backbone of this company. We will continue to call on Stellantis to show our members the respect that is due to them by demanding that they provide a safe working environment to all employees and job security by investing in America," Boyer said.
Bargaining for the next contract between the automaker and the union is expected to begin later this year.
Stellantis reported Wednesday 2022 revenues of $191.2 billion, up 18% from 2021, and a record net income of $17.9 billion, up 26% compared to 2021. According to the company, it has a 10.7% market share in North America. That's all despite overall shipments declining 2% year-over-year to just over 6 million units.
Notably, the company sold 288,000 battery and electric vehicles (BEVs) globally in 2022. Stellantis CEO Carlos Tavares said during a Wednesday morning earnings call that the company currently has 23 BEVs on the market and that the company will increase to 32 by the end of this year and 47 BEVS by the end of 2024.
Tavares said Stellantis will start selling BEVs in the United States this year. Stellantis is targeting 5 million in global BEV sales by 2030.
Kokomo will play a part in reaching that goal.
StarPlus Energy, a joint venture company between Stellantis and Samsung SDI, is currently constructing a $2.5 billion EV battery plant on the far north east side of town. Workers at the plant, expected to open in the first quarter of 2025, will produce batteries for the automaker's electric vehicles.
Also announced Wednesday was a dividend of $1.42 per share, equating to $4.47 billion, to Stellantis NV shareholders, and a share buy back of up to $1.6 billion.
Tyler Juranovich can be reached at 765-454-8577, by email at firstname.lastname@example.org or on Twitter at @tylerjuranovich.