CEO: Opel Will Become a Major Force

General Motors hopes the Opel viability plan will bring the brand in the pinnacle of the European auto sector, despite the massive job cuts it wants to apply in the Old Continent. If we are to trust the recent rumors, GM would eliminate around 9,000 jobs in Europe, with 50 to 60 percent of them to come from Germany.

However, this is only a necessity as General Motors hopes that Opel will re-become one of the top players of the industry.

In a statement rolled out today, Nick Reilly, Opel and Vauxhall CEO, said that General Motors expects the German brand to return to profitability in the upcoming years if everything goes according to the plan.

“When we finalize our viability plan, it will enhance our competitiveness and enable this company to remain a major force in European car making and sales. And I am confident that GM in Europe – led by Opel and Vauxhall – will be capable of delivering sustainable profits in years to come,” he said.

“Our profit and growth ambitions will not be achieved by cost-cutting alone. We must build on our current success in product quality, reliability and customer satisfaction – reflected by the enthusiastic reception for the new Astra and Insignia models.”

Opel's restructuring plan will be unveiled in mid-December, even if people familiar with the matter have already released several details regarding the plan.

Klaus Franz, Opel labor leader, said that GM will cut around 2,500 jobs at Opel's headquarters in Ruesselsheim, Germany. This includes 1,300 jobs in administration, 862 in production plus 548 in engineering and development center. The Bochum facility will be affected as well, with 1,799 jobs to be eliminated. Additionally, the Eisenach and Kaiserslautern plants in Germany will lose 300 jobs each.
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About the author: Bogdan Popa
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Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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