The embattled head of Stellantis has resigned as the automaker faces poor sales and strong criticism from union leaders.
The company had expected now-former CEO Carlos Tavares to retire in a few years.
But experts say Stellantis has relied on an expensive product line-up at a time when customers search for less pricey vehicles.
At a recent automotive summit in Paris, Tavares, who is known for cutting costs, told the crowd it was difficult to build affordable cars that have the extra features customers want.
“The consumer is always asking for more for the lowest possible price. So when you say do we reach the limit in cost-reduction...I have to tell you that you must ask that question to the consumer.”
But dealers and the United Auto Workers have criticized Tavares for earning an almost 40-million-dollar salary while the automakers’ profits dropped by almost half from the year before.
In a statement, UAW President Shawn Fain praised Tavares’ departure, claiming he had mis-managed the company and mis-treated workers there.
