Chrysler workers get deal on Mercedes

[tgagneguam]

Chrysler workers get deal on Mercedes

Discount plan widened to help prop up sales of ailing luxury carmaker.

By Ed Garsten / The Detroit News

AUBURN HILLS - They design, build and sell all-American cars and trucks, but now Chrysler employees in the United States can score big discounts for family members on German-engineered Mercedes-Benz vehicles.

DaimlerChrysler AG's Chrysler Group has extended and expanded its employee discount program through 2005. Chrysler employees and up to six family members are now eligible to buy or lease a Mercedes-Benz vehicle at 12.25 percent below sticker price.

Previously, the discounts were available to two immediate family members. "It helps us try to sell a few more cars," Chrysler Group spokesman Kevin McCormick said. "Employees are always proud to help out a friend or family member."

Mercedes is a DaimlerChrysler family member that could use some help.

While Mercedes-Benz's U.S. sales edged up 1.3 percent in 2004, the brand's once-vaunted reputation has been tarnished a bit over the past few years.

And General Motors Corp.'s Cadillac division surpassed Mercedes-Benz last year to become the third best-selling luxury brand behind Lexus and BMW.

"Quality is down, perception is down, image is down," said Art Spinella, president of CNW Marketing Research Inc., a Bandon, Ore., a company that monitors consumer behavior and vehicle sales trends.

Once looked at as the weaker half of the corporate marriage that combined the German and American automakers, Chrysler now is strutting its stuff as the only U.S. automaker to improve U.S. market share in 2004. Spinella said the wider availability of discounts on Mercedes vehicles is ironic.

"This could be a case where Chrysler saves Mercedes," he said.

The enhanced discounts on Mercedes models could also become a sore point for the United Auto Workers. In the past, the union has openly boycotted foreign-made vehicles to protect U.S. factory jobs.

In 2002, UAW members lobbied Ford employees to stop buying foreign-built cars, including models sold by Volvo and Jaguar, which Ford owns.

Employees interviewed last week were split over whether it was a good idea to offer discounted Mercedes vehicles to Chrysler employees, retirees and family members.

"That just shows you what (Chrysler executives) think of our products," said Guy Neroni, an inspector at Chrysler's Warren stamping plant. "You also see a lot of Ford execs driving around in Jags."

When asked if he would take advantage of the deal, Neroni said he recently bought a Chevrolet Corvette, a product of crosstown rival General Motors Corp.

Before you go to the full article, look at the last sentence above

[T-Type]

My, my, my...How the mighty have fallen...

tisk, tisk, tisk

[mgescuro]

The UAW actually lobbies against buying foreign brands owned by the company they work for??? HOW RIDICULOUS IS THAT?!?!?!

UAW should be ashamed of themselves.

Mercedes has really hit a few speed bumps. It's probbaly because of their massive lineup of cars that seemingly overlap one another. And with such a big lineup, quality decreases... but so should sales... and that hasn't happened.

[urarock76]

"This could be a case where Chrysler saves Mercedes," he said.

That is without a doubt the funniest line I have heard in weeks. Chrysler has, count it, ONE good car....and the 300 is based on a mercedes to boot.

Don't get me wrong, I'm all for Chrysler putting out good product and doing well in the market...same for GM and Ford, but give me a break.

Now that Chrylser is being run by the Germans I think we will finally get some well-designed AND well-built cars.

[dav305z]

Originally Posted by urarock76

"This could be a case where Chrysler saves Mercedes," he said.

That is without a doubt the funniest line I have heard in weeks. Chrysler has, count it, ONE good car....and the 300 is based on a mercedes to boot.

Don't get me wrong, I'm all for Chrysler putting out good product and doing well in the market...same for GM and Ford, but give me a break.

Now that Chrylser is being run by the Germans I think we will finally get some well-designed AND well-built cars.

Yeah I find that funny too. The 300 is great, but it cannot hold up a full line auto maker all by itself. The Caravan, Stratus, and Neon all need makeovers.

[mbukukanyau]

Sales of the 300 C are going to fizzle out like there is no tommorow in a year or two, That 'in your face design is not for everyone, that is why Camry sells

[Askani]

Originally Posted by urarock76

"This could be a case where Chrysler saves Mercedes," he said.

That is without a doubt the funniest line I have heard in weeks. Chrysler has, count it, ONE good car....and the 300 is based on a mercedes to boot.

Don't get me wrong, I'm all for Chrysler putting out good product and doing well in the market...same for GM and Ford, but give me a break.

Now that Chrylser is being run by the Germans I think we will finally get some well-designed AND well-built cars.

I hate Mercedes as much as the next guy... But Chrysler has one of the best lineups around... They have a cash cow in Jeep, which can get redesigned once every 10 years and still sell 200,000 plus Grand Cherokees a year. They have the Ram and all it's variants, Neon although it's girly, the PT which is a 100,000 unit seller, the 300/magnum, the minivans, and of course the viper... They're right that Chrysler will save Mercedes...

[FoMoCo Fan]

UAW to members - please don't buy products from the people who employ you and often pay you NOT to work?!!!? And we wonder what is wrong with Detroit?!!!?

[purplehaze]

Hey Mercedes has managed to make some fairly nice products. In particular I can recall a 24 cylinder engine that had a hefty dose of cubic inches.

[AJR]

"Now that Chrylser is being run by the Germans I think we will finally get some well-designed AND well-built cars."

And when Ford and/or GM get bought out by Toyota, maybe we will get some high quality and innovative vehicles from companies run by true business leaders.

[HEMI300C]

Quality scores for Mercedes-Benz have rebounded, but the poor perception will probably linger for a while:

[jd4548]

This is soo true about Mercedes. Quality and image are going down and they need some help to bring sales back up. IT's good to see Cadillac on top of Mercedes too.

[Family Man]

Wow... Hard to believe that someone who bolts panels on cars can now afford to buy a Mercedes.

Funny that Mercedes now needs help, but I can see why after all of those quality problems (and don't start with any of that "but Mercedes cars are full of the latest in high-tech" crap).

[GM_Guy81]

This is good for DCX to do. Giving people discounts on all the products in their companies portfolio is nice.

The nerve of the UAW is ****************ing incredible though. Its not like they are Toyotas or something! They are cars built by your company!!!

There are no words to describe the depth of my hatred for the UAW.

[69nova]

There is still some lingering hard feelings that Mercedes cloaked its real reason to buy Chrysler. Even that huge shareholder Kokorian (sp?) wanted to sue Mercedes about the action not being a merger but an acquisition.
And the companies are not Siamese twins. I'll bet that if you look at the structure of the financial books, Chrysler is not integrated into M/B. This is done so it can be sold at a moment's notice (or shut down).
With that and as a company employee, I would buy the product that came out of my plant because, in the end, it is who sells the most cars.

I don't think Chrysler's forward and aggressive product managers needed Mercedes' stodgey products to help them turn the company around. GM should have such a lineup of designs.