Opel: No Deal With The Unions, Deadline Expires
Down to the wire, and nothing: German unions had set Opel a deadline until today to come to an agreement about the future of Opel. The unions had offered to forgo a 4.3 percent pay hike and waive future pay raises if Opel extends a moratorium on plant closures through 2016. Today’s deadline passed without an agreement, Reuters says.
German metalworkers are entitled to the 4.3 percent pay raise, but Opel unions deferred payments through the end of October. Union representatives will meet today to discuss how to go forward.
Also today, Germany’s anti-trust authority approved the alliance between GM and PSA, the Handelsblatt says. The agency decided that no market dominating tie-up exists. The agency did not investigate the bailout of PSA by the French government. That is Brussels’ job.
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Ford didn't try to close a German factory. GM rewarded the loyalty of their English partner. GM's issue is it's over capacity in Germany.
Don't know if labor law lets GM do it over there.. lengthy lockout followed by closure in 18 months. Just hire some expensive legal consultants GM - you know those former union labor lawyers who cross over as freelance union busters for big corps.
The unions have met their match on this. Blood is not coming from this stone and they know it.
Damned overcapacities. How do they work?