Chrysler CEO Bob Nardelli sent a memorandum to employees Thursday, March 13 indicating the company would shut down corporate-wide for the weeks of July 7 and 14.

Unless workers make special arrangements with the company the period will constitute vacation time. The global shut down will effect the vast majority of Chrysler's employees; 15,061 of those on salary and 56,517 working hourly.

According to the memo, "Employees who have already used their vacation days, have insufficient earned vacation for the year or are otherwise committed to noncancelable vacation plans during other time periods should work with their local management to make alternative arrangements."

The memo indicated the some operations necessary "to support business-critical activities" would be maintained such as sales and dealer support.

The stated reason for the break has been characterized as the need "to create better alignment and efficiency across organizational lines and [to] boost productivity."

Typically during the month of July Chrysler, General Motors, and Ford idle their operations to some degree for vacations and to retool manufacturing operations relative to model changeovers.

This company-wide shutdown is, however, a first for Chrysler. Potentially some employees who have already had their allotted vacation time could be faced with two weeks without a paycheck.

Undoubtedly this action is in keeping with Nardelli's commitment to shoring up the company's cash position and to going further with the cost-cutting measures taken at Chrysler in recent weeks.