[Image Source: ABC News]

By Gunnar Heinrich

For the second time in two weeks, the United Auto Workers union has ground vehicle production at a major U.S. car company to an unnerving halt. Chrysler, this time, is the source of the UAW's ire as negotiations over new four year contracts for employees broke down.

"In particular, Chrysler was reluctant to make a commitment to the number of new products would be built in American plants, and to guarantee how many jobs would remain at the company, which is in the midst of a restructuring program. Chrysler officials are said to be seeking flexibility to import vehicles from outside the United States, so they can take advantage of cheaper labor costs," the New York Times reported.

The NYT also said that the strike will likely have little affect on dealer inventories as there is a three month over-supply at dealerships across these United States. In fact, earlier this week Chrysler shut down some factories to let over-stocked inventories "thin out."

Unnamed sources told the NYT that Chrysler may have been seeking to cut 5% or 415 jobs from its workforce.

[Source: NYT]