Opel’s Restructuring Plan to Be Reached in 2013 image

Opel might need three more months to close a deal with German unions regarding the restructuring plan.

According to this restructuring plan, the automaker will close the Bochum factory, sending home thousands of workers in 2017. Friday, October 26th, the Management of Ruesselsheim-based Opel and workers agreed to extend the October 26th deadline for negotiations with two or three months. The purpose of these negotiations is to make Opel assure workers that it won’t close any of the four German plants through 2016.

Now the talks have no firm deadline and according to the union spokeswoman an agreement could be reached any moment. Opel has signed an agreement with IG Metall according to which the four plants are protected by the end of 2014. The unions want to expand this deal until 2016, after the automaker said in June that the Bochum plant was “broadly expected to be closed” once that deal expired.

GM has lost $16 million in Europe in the last 12 years, despite repeated job cuts. With the European auto industry showing no signs of recovering, Opel’s workers are under increasing pressure to accept any deal, including deep cuts, especially after Ford announced it will close two plants in Europe.