Renault Takes On French Unions, Unions Incensed

Bertel Schmitt
by Bertel Schmitt
renault takes on french unions unions incensed

Renault opened negotiations on a new labor deal for France with a big squeeze, Reuters reports. Renault wants pay and working time concessions from its French workers. If Renault doesn’t get a good deal, jobs could go elsewhere.

Renault said it wants a deal by January, and will not choose production sites for future models before then.

“There is a clear blackmail attempt here to link factory decisions with the productivity issues,” a CGT union official said.

Renault CEO Carlos Ghosn had dropped ample hints that the company doesn’t have to be in France, and that it could leave the country if Renault is unable to compete at home.

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  • Angus McClure Angus McClure on Nov 07, 2012

    Seem to remember the same comments from the same person about Japan- Nissan- and the Yen. It must be great to be King er.. CEO of a multinational corporation. Probably GM could have benefited from this type of strategy before it began to drown in the legacy debts. Maybe wouldn't have fit nearly so well.

  • Rwb Rwb on Nov 07, 2012

    “There is a clear blackmail attempt here to link factory decisions with the productivity issues,” a CGT union official said. This quote can't mean what it appears to, right?

    • See 1 previous
    • Acd Acd on Nov 07, 2012

      So according to the union a manufacturer shouldn't make decisions about where to make future products based on productivity? Wow.

  • 50merc 50merc on Nov 07, 2012

    Well, no one knows more about blackmail than a union. It's what they're all about: "accept our demands or we'll destroy the business". Ghosn should move production to Mexico, where workers appreciate jobs.

    • Ihatetrees Ihatetrees on Nov 09, 2012

      Mexico is competitive, but a firm needs to be careful. Mexican labor law regarding severance pay can be pricey.

  • SCE to AUX SCE to AUX on Nov 07, 2012

    The union can declare victory when they strike and Renault moves production elsewhere. That'll show 'em.

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