Opel cutting work hours in two plants to avoid layoffs

Opel makes use of short work until the end of the year
Reduced labor time in Rüsselsheim and Kaiserslautern

Rüsselsheim, 2012-08-23 — In an agreement with the Works Council and IG Metall, today Opel announced short work for its Rüsselsheim facilities and Kaiserslautern component plant, starting September 2012. The agreement includes 20 short work days for each of the facilities until the end of 2012.

«The European car market is declining substantially. Until recently, the decreased production schedules could be compensated by applying corridor shifts and accrued overtime,» says Holger Kimmes, member of the Opel Management Board and vice president, Opel/Vauxhall Personnel. «Now short work is the right bridging measure.»

«The introduction of short work will safeguard jobs,» said the head of the Opel Works Council Wolfgang Schäfer-Klug. Thanks to the support of short work payment and an additional allowance from the company, the financial burden for the employees will be limited. The Works Council and IG Metall have worked to ensure that this socially responsible measure can be applied to the Rüsselsheim work force and production area, as well as administration.

Short work applies to manufacturing as well as to the central and administrative functions. In manufacturing, labor time will be reduced by short work shifts or short work days starting in September. In the administrative and service functions, short work days will be applied starting in October. Individual policies will apply in these functions. Engineering is not affected by short work.

There are 13,800 employees working in Opel’s Rüsselsheim facilities, with 3,500 employees in manufacturing, 3300 in central and administrative functions and 7,000 in engineering. About 50 percent of the Rüsselsheim employees are affected by short work.

The Kaiserslautern plant has a workforce of 2,500.

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