Workers say no to GM voluntary dismissal plan

By Redação AutoIndústria | 9/20/23 | Translated by Jorge Meditsch

General Motors said in a note that the employers of the plants in São Caetano do Sul, São José dos Campos and Mogi das Cruzes, all in São Paulo, “decide not to accept the company proposal of an incentivized dismissal program (VDP)”.

The manufacturer did not disclose the proposal terms and what it will do to adjust the production volume to the current sales level in Brazil and countries to where it exports. It just said that, presently, the offer remains higher than the demand, as the expected market reaction did not materialize in these countries.

According to Renato Almeida from the Metalworkers Union of São José dos Campos, the company offer is unrelated to the employees’ length of service. The options condition extra wages to the health insurance plan. For example, the workers can choose to keep free medical insurance for 21 months and receive no other payments than the obligatory by law.

Other proposals were one extra monthly salary and 18 months of health insurance, two salaries and 15 months, three salaries and 12 months and other proportional options. Another option would be to receive seven extra salaries and immediately give up the medical insurance.

The proposal did not please the union leaders and GM employees. Almeida said that the rejection of the plan, decided in meetings held at the three plants, was unanimous. According to him, the manufacturer did not schedule yet a new meeting to discuss new steps.

GM’s main product, the Onix, is produced at the plant in Gravataí, RS, which keeps operating without the risk of a VDP, at least for now. In São Caetano and Moji das Cruzes are produced the Montana, Spin and Tracker, and the Trailblazer and S10 are made in São José dos Campos.

Currently, a temporary layoff for part of the employees is happening in the last two plants.

Fenabrave’s balance from January through August shows GM occupying the market’s third place after Fiat and Volkswagen. The Italian brand sold 296.7 thousand automobiles and light commercial vehicles in the period and owns a 22% share. VW delivered 210.1 thousand units (15.6%), and GM sold 208.4 thousand vehicles (15.4%).

August was the worst month for Montana since its launch last March. With just 2,884 deliveries, the Chevrolet pickup was third in Fenabrave’s large pickup ranking. Toyota Hilux and Fiat Toro were first and second.