GMSA slashes jobs
2009-04-06 09:05
GMSA's Kempston Road plant, Port Elizabeth
General Motors SA (GMSA) will retrench 700 workers, the vehicle manufacturer said on Friday in a statement.
"During the course of 2008 we made significant changes to our salaried and hourly headcount levels in line with the deterioration in the vehicle sales market.
"Unfortunately the market deterioration has continued into 2009 to the point where we have no other option but to contemplate forced retrenchments," the company said.
The action would be taken as a measure of last resort after full consultation with the unions and other employee representatives, GMSA added.
"At this stage we anticipate terminating the services of temporary contract employees, extending the voluntary separation plan to all employees and as a last resort, implementing forced retrenchments.
"In total this will affect approximately 700 people," GMSA said.