Saturday, April 05, 2008

Chrysler To Outsource Some IT

Another blow to the Michigan economy and to the IT sector.

Chrysler To Outsource Some IT

Chrysler LLC is outsourcing some of its computer technology work in a move that will eliminate about 200 of 1,000 full-time salaried jobs.

Vice president and CIO Jan Bertsch says the automaker has finalized contracts with India-based Tata Consultancy Services and Virginia-based Computer Sciences Corp. to manage maintenance and support operations for internal employees.

Several hundred of the 1,100 contract workers in Chrysler's information technology department also will lose their jobs.

The Detroit News says the moves are part of Chrysler's three-year recovery plan, which calls for shedding 3,000 salaried positions and 25,000 jobs overall.

Bertsch tells the Detroit Free Press the moves will result in ''substantial'' savings, but declined to elaborate.

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