GM wants to maintain its current level of production in Canada
The restructuring of General Motors provides for maintaining the current level of production in Canada, but the manufacturer does not specify how many jobs it will be removed in processing.
Information obtained by The Associated Press does not include precise amounts as to additional emergency from the federal and Ontario governments funds.
It precise, however applications will be proportional to that of U.S. $ 30 billion that GM has made in Washington. This assessment would place Canadian aid has approximately $ 6 billion.
The company says its plans to allow GM Canada to repay taxpayers. However, she also admitted that she was expected that the decline in the North American automotive market continues further.
GM's proposal is among a larger plan of two of the three Detroit automakers, GM and Chrysler. They wish to restructure all of their activities thanks to the tens of millions of dollars in loans and aid that are offered by the American and Canadian governments, verses to help them through the next year, until the work of automotive stabilizes.
The manufacturer also request assistance from the union of the Canadian Auto Workers (CAW) to reduce its costs related to salaries and pensions.
GM's plans provide for a reduction of 10 per cent of management salaries and a reduction in wages and benefits for salaried employees. Pension benefits pension GM Canada will be as they have protected.
GM does not provide for additional plants GM Canada closures, in addition to those already announced.
From Canadian production company will be maintained at the same level, between 17 and 20 percent during the period 2009 to 2014.
GM plans to also ensure the launch of five new vehicles in Oshawa and Ingersoll plants in southern Ontario, as well as the production of a new gearbox in St. Catharines, another factory Ontario.
The plans also include an increase in research on electric cars.
Later in the day, Friday, it was the turn of Chrysler Canada to present the federal and Ontario governments as a similar one proposed its parent company in U.S. government Tuesday plane.
The Canadian plan was improves a covering letter addressed to the federal and Ontario ministers responsible for industry, stressing that the activities of the company were integrated in both countries.
"Discussions will follow closely," said a government official.
The CAW president Ken Lewenza has said about him during a press conference that the union had already provided $ 900 million in compromise GM, Ford and Chrysler, accepting a wage freeze for three years, Last spring, which expires in 2011.
The union will begin shortly the negotiations with the three American automakers which operate in Canada and the union will do the necessary to ensure that the costs of the Canadian workforce remain competitive.
Lewenza added that the union was considering the plan to ensure it is well positioned to maintain its existing investments and eventual Canada.
Read more about:
More Popular Images