Stock Markets2 hours ago (Sep 29, 2020 04:10AM ET)
(C) Reuters. Logo of Renault
PARIS (Reuters) – At least three of the four main unions representing employees at France’s Renault (PA:RENA) plan to signal their disagreement with its cost-cutting plans, several union sources said, adding to the carmaker’s turnaround headaches.
Loss-making Renault, which is 15% owned by the French government, has outlined 2 billion euros ($2.34 billion) in savings, including via job cuts and by reorganising its factories, to restore profitability.
It has pledged to consult unions on the process. Employee representatives only have a consultative power on the plans, but rejecting them will complicate negotiations for new Chief Executive Luca de Meo.
The CFE-CGC, CFDT and CGT labour unions will reject Renault’s plans at a meeting with representatives of the firm on Tuesday, three union sources said.
A fourth union, Force Ouvriere (FO), is also due to go against them, Le Figaro newspaper reported on Tuesday.
Renault declined to comment.
Main Renault unions to reject cost-cutting plans: sources
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