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GM to Close Factory in Germany Next Year
General Motors Co.'s Opel unit says it will shutter its assembly plant in Bochum, Germany, by the end of 2014 because 76% of the hourly workers there rejected a contract that would have kept the facility open through 2016.
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General Motors Co.'s Opel unit says it will shutter its assembly plant in Bochum, Germany, by the end of 2014 because 76% of the hourly workers there rejected a contract that would have kept the facility open through 2016.
Under that agreement Opel also would have converted the factory into a logistics center and shifted some employees to a nearby distribution facility, thus saving 1,200 of the Bochum plant's more than 3,000 jobs.
The company says it won't hold further labor talks there.
The current generation of the Zafira Tourer MPV built in Bochum will end its lifecycle late next year. Opel warned previously it would close the factory then if the accord weren't approved.
A broader contract will be implemented at the company's four other unionized plants in Germany after more than 80% of workers there ratified the deal. The pact freezes wages through 2015 and extends job security by two years to 2016 for more than 20,000 employees.
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