Mandelson Wants Early Sight on Opel Restructuring Plan

While agreeing that GM's decision to retain possession of Opel and Vauxhall might be good for the two companies, UK Business Secretary Peter Mandelson demanded GM CEO Fritz Henderson and German Economy Minister Rainer Bruederle an early sight of Opel's restructuring plan. He believes that Vauxhall workers would prefer working with the same board rather than working with a new team.

"I think our own Vauxhall workforce would prefer to keep with the management they know rather than take a chance with a management that they don't," Mandelson was quoted as saying by Reuters. "But whatever happens, we must see an appropriate, commercially based judgment being applied to redundancies which will take place in the context of restructuring."

Additionally, Mandelson emphasized that GM's decision is good for taxpayers, especially those in countries hosting Opel factories, such as the UK, Germany and Spain.

"Now this is creating uncertainty and some fresh fears amongst Opel and Vauxhall workers," Mandelson said in a statement. "On the other hand, it will be a significantly less costly deal for European taxpayers, notably German, British and Spanish taxpayers."

The United Kingdom is one of the first countries to express its financial support for General Motors, just after the US-based manufacturer announced its decision to keep Opel and start restructuring.

"We have noted GM's announcement today and want to work closely with GM to understand their plan for the business and what it means for the UK," a Department for Business spokesman said. "We have always said that if the right long-term, sustainable solution is identified, then the government would be willing to provide funding to this."