Due to slipping sales and Chrysler’s lending shift to GMAC, Chrysler Financial says it will shed about 350 jobs. Chrysler Financials entire business model will also be restructured, resulting in the closure of the company’s customer service center near Kansas City.
Chrysler Financial will eliminate positions at all eight of its business centers, as well as at the company’s Farmington Hills headquarters. In all, Chrysler Financial will shed about 9 percent of its total workforce.
“While these were difficult decisions to make, they are necessary in light of our declining portfolio,” said Tom Gilman, Chairman and CEO — Chrysler Financial. “We have made every effort to limit the number of job losses and to ensure the affected employees are treated fairly.”
Chrysler Financial – held by Cerberus Capital Management – was dumped as the lending arm of Chrysler during the company’s time in bankruptcy. Despite being displaced by GMAC, Chrysler Financial still holds a $45 billion portfolio with operations in dealership insurance and retail financing.