General Motors Co. received a warning from the premier of the German state of Hesse, stating that the carmaker’s plans to cut 2,500 jobs were “completely unacceptable.” Just a day ago, Roland Koch claims that the interim head of Opel, Nick Reilly, had told him that GM’s restructuring plan would “in principle” orient itself on job cuts agreed with Canada’s Magna International Inc.

Magna’s proposal, which was approved by the German state and federal governments, anticipated a reduction of 1,400 to 1,600 jobs in Ruesselsheim through 2014. Koch calls the figures published by the media to be “overly exaggerated.” As Opel is one of the largest private employers in Hesse, Koch has actively participated in talks for GM to cede control of its European arm in exchange for billions of euros in state aid to fund Opel’s operations. Recently, GM had chosen to withdraw its bid for Magna just days before the expected signing. The reversal enraged the German state and federal governments due to the wasted time spent on conducting difficult and complicated negotiations over the past 12 months.

[via autonews]

Tags: car news, gm opel restructuring plan, Opel, opel news

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