Thursday, July 12, 2012

Brazil union votes to strike as GM cuts minivan output






The Metalworkers Union of São Jose dos Campos also stopped production for two hours at the factory in the city of Sao Jose dos Campos earlier in the day, ahead of a meeting with GM executives and labor ministry officials.

"The meeting accomplished nothing. The company won't make any assurances. They are cutting production here and want to shut down the whole assembly line," Antonio Ferreira de Barros, the head of the union, said in a phone interview.

GM officials were not immediately available for comment, but a senior vice president told Reuters last week that the companies' overall payroll in Brazil is growing as it offsets cuts at some factories with hiring at others.

About 350 workers on the factory's passenger vehicle line have accepted a voluntary buyout program offered by the company last month. Output of the Zafira, which was launched in Brazil over a decade ago, represented less than 10 percent of the production on that line, which employs some 1,500 workers.

About 7,500 people work at that GM factory, which also has assembly lines producing motors and S-10 pickup trucks.

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