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Opel employee council agrees cost cuts [2009/11/04] November 4, 2009

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FRANKFURT_Opel’s employee council says workers have agreed to make cost-cutting contributions worth ⁈llion ($390 million) a year to ease the auto maker’s sale to a consortium led by car parts maker Magna.

A statement from the council Tuesday said an important element of the agreements with European workers is "the mutual aim of doing everything to avoid plant closures and layoffs" at the General Motors Co. unit.

It says the agreements are dependent on a deal being signed to sell a majority of Adam Opel GmbH to Canada’s Magna International Inc. and Russian lender Sberbank. The work force would get a 10 percent stake.

GM’s board was expected to decide later Tuesday whether to give that deal final approval.

<<The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. — 11/04/2009>>

(c) 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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