Magna planning to sign Opel deal early next week

Article by Christian A., on August 26, 2010

Despite continuing conflicts that are being raised in the talks, Magna International Inc. and its Russian partner Sberbank expect to complete the deal for a 55% stake in Opel next Monday or Tuesday, according to a Reuters report.

It means that by next week, the Canadian auto parts supplier has to clinch a deal with Opel's influential labor leaders over annual savings of 265 million euros ($387.4 million).

Negotiations are being participated by the unions, Magna and Opel minority owner General Motors Co. over a restructuring plan that would lead to thousands of job cuts across Europe. 

Talks had resumed last Monday but they adjourned with no result on Thursday to allow the sides to take "time for reflection," according to the Deutsche Presse-Agentur (dpa) news agency reported.

Opel labor leader Klaus Franz said there is still a "substantial point to decide," but he described the talks as being "in the home stretch."

Reportedly, one of the sticking points is the labor side's demand for a right of co-determination on factory closures. Furthermore, labor leaders don't accept Magna's plan to cut 10,500 of the 50,000 jobs at Opel's European factories including 4,500 in Germany.

Topics: magna, opel

If you liked the article, share on:

Comments

Recommended

An RHD (right hand drive) BMW M4 DTM Champion Edition has been listed to be for sale by Romans International, UK’s leading supercar dealership. The first owner of this rare...
by - May 24, 2017
Audi will be offering something exciting for its United Kingdom market. The company announced that it will be adding new features as standard to the A4 range. It also confirmed...
by - May 24, 2017
You guys are probably aware of the collaboration between Mercedes-Benz and Renault-Nissan. Knowing this, you would expect that both companies will come up with something impressive. Sources say that the...
by - May 24, 2017
Amongst all sports cars on the planet, which one is the world’s best-selling model? Would you have guessed that it is the Ford Mustang? According to IHS Markit’s global automotive...
by - May 24, 2017
It’s not a bird. It’s not a plane. It’s Kris Singh’s blue carbon flying machine! Time stood still for a few minutes after the extremely rare Pagani Huayra BC Macchina...
by - May 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries