Talks are ongoing for a labor proposal to save an Opel plant in Antwerp, Belgium, from being shut down, according to an Opel spokesman. A source said that the proposal anticipates finding a private investor who could potentially cooperate with Opel in producing convertible models.
In late January, CEO Nick Reilly said that it had plans for its Antwerp plant to close by June or July, unless an alternative could be found through negotiations with the unions.
Reilly said that GM has made several attempts to find another way but it had failed to do so. Back then, Reilly had said that the company is losing money and that there has to be action.
Opel's European works council, which regarded the closure as a "breach of contract" that would lead to millions in unnecessary costs, withdrew its offer to support Reilly's restructuring plan with 265 million euros in annual wage concessions.
The unions are upset as well with Reilly's intention to cut Opel's capacity by a fifth and eliminate 8,300 jobs in Europe. In an attempt to gain support from governments and unions, GM last week tripled its funding commitment for Opel and lowered its request for state aid. [via autonews - sub. required]