Opel labour chiefs prepared to talk to PSA

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[February 17, 2017]  RUESSELSHEIM (Reuters) - Workers' representatives of General Motors'  European arm Opel are prepared to hold "constructive" talks with prospective new owner PSA Group <PEUP.PA> as long as commitments to jobs and plant investments are upheld, they said on Friday.

The logo of German car manufacturer Opel is pictured at the compnay headquarters in Ruesselsheim , Germany February 15, 2017. REUTERS/Ralph Orlowski

General Motors (GM) and Peugeot owner PSA said this week they were in talks over a possible sale of Opel, known as Vauxhall in Britain, causing alarm in Berlin and London over possible job cuts and factory closures.

"The fundamental basis for these talks ... must be the unequivocal recognition and implementation of existing agreements for all Opel/Vauxhall sites," the German and European works councils and trade union IG Metall said in a statement.

"Our objective must be to seize the existing opportunities to safeguard employment and sites to create a successful Opel/Vauxhall," said Wolfgang Schaefer-Klug, chairman of the European works council.

German government officials have met with bosses of PSA and GM regarding the talks, which are at an advanced stage, a government spokeswoman said. She said any job guarantees were a matter for company managers and labour representatives.

Opel Chief Executive Karl-Thomas Neumann tweeted: "A combination with PSA makes fundamental sense. I have great understanding for our staff and customers' many questions."

At Opel's headquarters in Ruesselsheim near Frankfurt, where Schaefer-Klug briefed staff for about 45 minutes on Friday, workers took the latest twist in Opel's fate in their stride.

"Comment allez-vous?" one grinning worker greeted another following the meeting.

(Reporting by Edward Taylor; Writing by Georgina Prodhan; Editing by Maria Sheahan and Mark Potter)

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