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Renault Asking Unions to Find Ways to Increase Productivity

Says that factory closures are not an option

The Flins factory that the union claims is under threat builds the Clio

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is desperate to increase productivity at its French factories and is in negotiation with its labor union. It says that it has no plans to close any factories. Renault is asking its workers to accept a pay freeze.

If it does not get the wage concessions, Renault may have to fire workers. It announced that it plans to cut 7,500 French jobs over the next four years to save €400 million.

Renault is asking its workers to accept a 6.5% increase in work hours, a wage freeze for 2013, a 0.5% raise in 2014 and a 0.75% raise in 2015.

"If there is no deal, it is impossible to leave things as they are. All options are open. But, for the moment, there is no plan B," said Renault's head of French operations Gerard Leclercq.

According to the head of Renault's labor union, he was told that the Renault factory in Flins, France, was under threat of closing. Renault says that this is flatly not true.

The union plans to carry out work stoppages at Renault factories on Wednesday to protest the company's offer.

Source: Automotive News Europe