Chrysler temporarily slows Jeep production

Chrysler temporarily slows Jeep Cherokee production, lays off 500 workers

Associated Press

DETROIT (AP) -- Chrysler is temporarily slowing production of the new Jeep Cherokee at its plant in Toledo, Ohio.

Chrysler spokeswoman Jodi Tinson said Monday that the company will lay off 500 workers and idle the second shift at its Toledo North plant for around two weeks.

The new Cherokee small SUV is replacing the Liberty in Jeep's lineup. It's a critical product for Chrysler and one of the fastest-growing segments of the market.

Chrysler has already delayed production and deliveries to make sure the SUV's new nine-speed transmission is working smoothly.

Tinson said Chrysler has been making Cherokees in Toledo since June and has enough to begin stocking dealerships later this month. She said the company is temporarily halting production to ease the strain on its shipment process.

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