Mexican Media Brands
Unions to French President: Stop GM, PSA Plant Closings
Union leaders in France met with new President Francois Hollande on Tuesday to demand he deliver on his campaign promise to save jobs by immediately halting impending factory shutdowns.
#labor
Share
Union leaders in France met with new President Francois Hollande on Tuesday to demand he deliver on his campaign promise to save jobs by immediately halting impending factory shutdowns.
The CGT union presented a list of companies where jobs are threatened, including General Motors Co. and PSA Peugeot Citroen. GM is trying to find a buyer for its transmission facility in Strasbourg as part of restructuring its European unit. PSA has said it plans to shed 6,000 jobs in Europe this year. The company warns it might downsize high-cost operations in France if its sales don't rebound.
Hollande promised after his election to impose financial penalties on profitable companies that try to boost their share price by dismissing workers. But it may be hard for him to force companies to comply. France's high court ruled early this month that healthy companies can fire workers under some circumstances.
Analysts say government intervention to block auto plant closings is the main reason that carmakers have not eliminated the excess capacity in Europe that is eroding their profits.
RELATED CONTENT
-
UAW Launches Strike Against GM
As expected, some 48,000 of the United Auto Workers Union members began a strike at midnight Sunday against General Motors Co. facilities in the U.S.
-
EU’s Industry Commissioner: “Diesels Are Finished”
The Volkswagen diesel scandal triggered a “breakthrough moment” among European consumers about clean air that will mean the demise of diesels, says European Union Commissioner Elzbieta Bienkowska.
-
Marchionne Cancels Trip to Paris Auto Show
Fiat Chrysler Automobiles CEO Sergio Marchionne has cancelled a planned appearance at the Paris auto show on Thursday.