On 15 December there was a sigh of relief as management at Opel, PSA’s recent summer purchase, secured a social agreement with representatives from the central works council committee, the Bochum works council and the IG Metall union. Called the ‘social framework agreement for a sustainable future’ the agreement comprises a series of measures aimed as slashing the financially beleaguered automaker’s fixed costs whilst avoiding employment terminations and site closures. The parties agreed, inter alia to extend the early departure program, implement partial unemployment measures when necessary, reduce some employees’ working time, and to group both Opel’s and PSA’s purchasing services under one management roof. The number of employees that will be affected by the measures was not indicated.
The former German subsidiary of US automaker General Motors has been losing sizeable amounts of money since 1999. Company management along with the central works council entered into ‘intensive cutting costs negotiations’, and in a joint statement welcomed the agreement that was secured.
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