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Renault opened negotiations on a new labor deal for France with a big squeeze, Reuters reports. Renault wants pay and working time concessions from its French workers. If Renault doesn’t get a good deal, jobs could go elsewhere.
Renault said it wants a deal by January, and will not choose production sites for future models before then.
“There is a clear blackmail attempt here to link factory decisions with the productivity issues,” a CGT union official said.
Renault CEO Carlos Ghosn had dropped ample hints that the company doesn’t have to be in France, and that it could leave the country if Renault is unable to compete at home.
8 Comments on “Renault Takes On French Unions, Unions Incensed...”
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The guy spent a billion on EVs on his gut, moved Infiniti’s headquarters to China and broke up age old kieretsus in japan. Why do they think he’s bluffing?
Seem to remember the same comments from the same person about Japan- Nissan- and the Yen. It must be great to be King er.. CEO of a multinational corporation.
Probably GM could have benefited from this type of strategy before it began to drown in the legacy debts. Maybe wouldn’t have fit nearly so well.
“There is a clear blackmail attempt here to link factory decisions with the productivity issues,” a CGT union official said.
This quote can’t mean what it appears to, right?
It probably does.
So according to the union a manufacturer shouldn’t make decisions about where to make future products based on productivity? Wow.
Well, no one knows more about blackmail than a union. It’s what they’re all about: “accept our demands or we’ll destroy the business”. Ghosn should move production to Mexico, where workers appreciate jobs.
Mexico is competitive, but a firm needs to be careful. Mexican labor law regarding severance pay can be pricey.
The union can declare victory when they strike and Renault moves production elsewhere. That’ll show ’em.