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7 November, 2001Union says that plan does not address the workers' demand for a job guarantee.
BRAZIL: Workers at Volkswagen's two car assembly plants in São Paulo have rejected the company's latest proposal that they accept cuts in salaries and working hours of 15 per cent or face the possible layoff of 3,000 to 4,000 workers. A spokesman for the union representing the VW workers, the Sindicato dos Metalurgicos do ABC, a member of the IMF-affiliated National Confederation of Metalworkers (CNM/CUT), said that management's offer had not addressed the workers' key demand of a job guarantee for those currently employed, and that a strike would be called if the company began cutting the workforce.
The transnational car company had initially announced in late October that, due to the present decline in sales and the slowing Brazilian economy, unions had to accept its plan to cut pay and working hours by 20 per cent or face layoffs.
VW employs approximately 23,000 workers at its two car assembly plants in São Paulo and is Brazil's biggest car manufacturer.
The transnational car company had initially announced in late October that, due to the present decline in sales and the slowing Brazilian economy, unions had to accept its plan to cut pay and working hours by 20 per cent or face layoffs.
VW employs approximately 23,000 workers at its two car assembly plants in São Paulo and is Brazil's biggest car manufacturer.