Dueling Development Centers Force GM to Slam the Brakes on Opel Sale

Steph Willems
by Steph Willems
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dueling development centers force gm to slam the brakes on opel sale

The handover of General Motors’ European operations and creation of a new Opel corporate identity, which was expected later this week, has come to a screeching halt.

As part of the $2.3 billion sale to France’s PSA Group, GM’s longtime German subsidiary will take on the name Opel Automobile GmbH — but not until the two companies clear a big hurdle. It seems the problem comes down to a tale of two development centers: one owned by GM, the other by PSA.

Opel’s Rüsselsheim, Germany development center, which brought American buyers past (and future) Buick Regals, is just one of the assets being handed over to PSA. However, the company’s works council has specific demands for those workers.

According to Automobilwoche, the council, plus German labor union IG Metall, wants to keep a certain number of workers employed at Rüsselsheim, despite the fact that some of the center’s work will overlap with work being performed by PSA’s 13,000 development employees. The union wants a guarantee that 7,700 workers will keep their jobs at the Opel center. As well, it wants work to continue performing work for GM until 2020, which could account for 30 percent of the center’s output.

PSA wants the next-generation Opel Corsa compact to ride atop a PSA platform. However, Opel wants to develop the model’s successor, as well as an SUV based on the Opel Insignia midsize sedan.

Wolfgang Schäfer-Klug, chair of the Opel Works Council, has claimed the issue isn’t disputable. As a result, employee information sessions planned for this week have reportedly been cancelled and the deal has seen its ratification date pushed back. Opel still expects the handover to be completed by the end of this year.

[Image: Opel]

Steph Willems
Steph Willems

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  • Deanst Deanst on May 31, 2017

    I did not say Renault was originally saved by Nissan - but in recent years Renault would be another basket case were it not for the strength of Nissan.

    • Akear Akear on May 31, 2017

      Interestingly enough, I read somewhere that Nissan surpassed GM in worldwide sales this past February. I think it is only a matter of time until Nissan surpasses GM in market share permanently. Bara has raped GM, and will join Roger Smith in GM’s hall of shame. BTW, the Bolt is the flop of year.

  • Akear Akear on May 31, 2017

    Both NFL Europe and GM left Europe because they could not hack it there. Europeans hate Football and GM cars. What a f**king disgrace!!

  • Peter Just waiting for Dr. Who to show up with his Tardis, and send these things back to the hellish dark dimension from which they came.
  • W Conrad I'm not really a truck person, but even I would consider one, I'd never get a CyberTruck in a million years. It's butt ugly.
  • NotMyCircusNotMyMonkeys par for the course teething pains. makes me wonder what it was like 100+ years ago trying it with lead acid at the time. steam cars were also a thing back then :)
  • NotMyCircusNotMyMonkeys people vote with their dollars. im not giving any to a jew hating aspie with a pube beard :)
  • Astigmatism As someone with the means, the home charger, and an EV already in the household: God, no. If I wanted an electric truck, would get the Rivian over this thing eleven times out of ten. Even leaving Musk's personality aside, the Cyber Truck is the automotive equivalent of $1000 designer sneakers - they just make you look like an insecure jerkwad.