The French government decided to appoint a special advisor to probe PSA/Peugeot-Citroen’s restructuring plan is necessary.
PSA Peugeot-Citroen plans to lay off 8,000 employees and close a plant in Aulnay-sous-Bois, near Paris. The special advisor appointed by the French government will determine if the company’s restructuring plan is really necessary and if a solution can be found to avoid the job cuts.
Emmanuel Sartorius, the government-appointed expert heading the probe, met with Thierry Peugeot, the company’s Chairman, in July to discuss and analyze the restructuring plan. The government has not announced yet what measures it might take, but the final results of the investigation will be made public on September 11th.
“The study is part of a normal procedure that the government takes in such a case,” said PSA spokeswoman. “The financial reasons behind the restructuring plan and its necessity are already apparent as PSA is a publicly traded company.”
PSA has been affected by the debt crisis in Europe, reporting an operating loss of 700 million euro in the first half of the year, and 200 million euro per month burned by manufacturing operations. Last month Social Affairs Minister Marisol Touraine said that it is not acceptable that a company which has received billions of euro in state support to even think about laying off employees.