GM to Get Rid of Opel on Thursday

It appears this is the last week when we're talking about Opel as a General Motors company as the US-based manufacturer will most likely sell its German brand these days. Furthermore, sources close to the matter are hinting that the final signature will be given on Thursday, Autonews reported today citing articles published by German news agencies.

Still, it's not clear whether parties involved in the matter, Magna, GM and labor leaders respectively, managed to reach an agreement on the proposed job cuts. Employees across Europe have already protested against the Magna cost-cutting measures which, according to leaked documents, could remove 10,500 of the 50,000 jobs in plants across the continent.

In the United Kingdom, Magna is believed to lay off people at two production facilities belonging to Vauxhall, but negotiations on the matter are still under way.

"Some progress is being made in talks between key parties but there are still issues to be resolved," said a spokeswoman for the Department of Business, Innovation & Skills. "We, like everybody else, would like a speedy resolution but we want to get the terms right."

The situation in Antwerp, Belgium is uncertain as well, after General Motors officials admitted the production facility is at risk, but refused to provide more details on the matter.

"That plant has been under evaluation for some time; no final decision has been taken. But it's certainly at risk," GM CEO Fritz Henderson said at the Frankfurt Auto Show last month. "We want this deal to close. We want Opel to succeed - period. There is no call option. There is no put option. So they can't force us to buy and we can't force them to sell. But if they want to sell, we have the right to make an offer," he said.
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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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