DETROIT - Bankrupt U.S. auto parts maker Delphi Corp DPHIQ.PK said on Monday it would cut 600 salaried jobs this year from its electronics and safety division as part of a plan to cut the division's costs by 25 percent.
Delphi, which employs just over 10,200 salaried workers in the United States, has cut thousands of jobs and sold off several business units since it filed for bankruptcy protection in October 2005.
Delphi said it was responding to a sharp decline in North American vehicle production and consumer defection from once-popular large trucks and SUVs, which typically require more interior electronics than smaller cars.
U.S. auto parts makers -- under pressure from high consumer gasoline prices, declining sales of trucks and SUVs, and increased energy and commodity costs in manufacturing -- are cutting production and thousands of jobs.
Sales for GM, Delphi's former corporate parent and major customer, were down 18 percent through July in the U.S. market.
GM took a $2.8 billion charge in the second quarter for its exposure to Delphi.
A plan that would have provided up to $2.55 billion to support the company's reorganization and allow Delphi to emerge from bankruptcy unraveled in April when Appaloosa Management LP and other investors pulled out.
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