It is no secret that Stellantis (STLA) , the parent brand of American car brands Chrysler and Dodge, is in trouble. Since the multinational automaker announced disappointing first-half earnings in late July 2024, the brand has taken many drastic measures to save money.In an email shared with Stellantis employees just a week after the earnings report, the automaker offered white-collar employees voluntary buyouts before suggesting that layoffs would occur if not enough employees voluntarily took the offers.Related: Dodge CEO's delusion is alienating dealers and loyal customersOn August 8, the automaker announced that it would lay off as many as 2,450 assembly line workers from the Detroit-area Warren Truck assembly plant following the end of production of a pickup truck with low sales. Additionally, United Auto Workers president Shawn Fain used his speech at the Democratic National Convention to blast Stellantis for not keeping its promise regarding the Belvedere Assembly Plant in its landmark contract."Let me be clear: Stellantis must keep the promises they made to America in our union contract," Fain said. "And the UAW will take whatever action necessary at Stellantis or any other corporation to stand up and hold corporate America accountable."From an outsider's perspective, things do not look great for the company that controls Chrysler, Dodge, and Ram. However, one unexpected figure is leaping from the shadows to voice his opinion on what the automaker should do with its beloved brands.
A Chrysler 300C at Spirit of Detroit Plaza in Detroit, MichiganGEOFF ROBINS/Getty Images
The heir comes backOn August 22, Walter B. Rhodes, the great-grandson of Chrysler founder Walter P. Chrysler, wrote an open letter seeking to gather investors and workers to collectively save Chrysler, Dodge, Jeep, and Ram from what he sees as Stellantis's mismanagement.In a short video uploaded to YouTube and a letter published on the Chrysler/Dodge enthusiast blog Mopar Insiders, Rhodes highlighted Chrysler's significance within American automotive history, a stark contrast from what the brand is under Stellantis's control. "The Chrysler brand, once a symbol of innovation and American ingenuity, is now at risk of fading into obscurity due to what I believe are poor decisions and mismanagement by its current owners, Stellantis," Rhodes wrote.As the leader of a movement that promises "much-needed" change, Rhodes accused Stellantis of being “out of touch” with American car buyers. More Automotive:The Toyota Crown is a masterclass in cheap, quiet luxuryFord making radical change that might anger loyal consumersGavin Newsom's 'EV mandate' is under U.S. Supreme Court threatWith 15 brands under its belt, the Chrysler heir said that Stellantis leadership “cannot give Chrysler the necessary attention." He pointed out that even with CEO Christine Feuell at the brand's helm, Chrysler products get dragged to the bottom of the priority list in favor of “slow-selling brands like Fiat, Alfa Romeo, and Maserati."Rhodes warned that with these misaligned plans, cheap, affordable cars from Chinese automakers like BYD could build cars that can attract buyers away from brands like Chrysler and Dodge, which can devastate the U.S. auto market and auto manufacturing."Chrysler has deep roots in the American market, serving as a reliable and accessible option for the middle class," Rhodes said. "Does Stellantis understand this? Chrysler needs new products now, not tomorrow, not next year—now."Related: Congress wants to change how SUVs lookWhile the current state of affairs shows the flaws within Chrysler and its associated brands, the heir is confident that "investors will see the potential in resurrecting" a "historic brand" like Chrysler into something new. The goal of his current campaign is to convince the top brass at Stellantis to unload its American brands; Chrysler, Dodge, Jeep, and Ram into his hands, where a new, "American-Owned Chrysler" owned in part by its workforce would “not only [focus] on profits but also on the people who build these cars.”In a separate 17-page document addressed to Stellantis CEO Carlos Tavares and Chrysler brand CEO Christine Feuell, Rhodes highlighted the most important innovations in Chrysler's history, and reached out an invitation to a “confidential discussion” to discuss the subject in a more intimate setting."The time for action is now, and I am ready to step up and save the brand that my great-grandfather built."Related: Veteran fund manager sees world of pain coming for stocks
