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No sale for Opel Antwerp

Car plant to close definitively in December

GM had set itself the deadline of 30 September to find an investor willing to take over the site as a going concern; otherwise it would close the plant and sell off the land and other assets. Until the last minute, GM was talking to two candidates: a Chinese manufacturer and an American investor.

Last Monday GM announced that neither of the two candidates satisfied all of the conditions laid down: a credible business plan that was profitable and solid and ensured sustainable employment. Opel's managing director, Nick Reilly, had earlier announced that both candidates were "serious parties", but both have now been dropped.

Flemish-minister president Kris Peeters and his government were ready with financial incentives for a new investor. "Antwerp is not in an area where the Flemish government is permitted to give financial or investment support, according to European rules," Peeters said last winter. But what they could do was "give guarantees," he continued. "We will prolong those we have already given to Opel. And a sale and lease back operation can go ahead: we buy the land from GM and rent it back to the new investor. It should also be possible to give training support."

But none of that was enough to bring the candidate-investors up to the standards required. Unions protested immediately that GM had never made a serious or sincere effort to arrange a takeover. The prospect, the ACV Metea union said, had been dangled in front of the eyes of the workforce like a hypnotist's charm. "At the announcement of the closure of the factory on 21 January this year, it became immediately obvious that GM would do anything to send any takeover effort off the rails," the union said in a statement.
The job of finding a candidate to take over from the start of 2011, given the 30 September deadline, was, the union said, "an impossible task". Back in August, GM had already called in real estate agents to ask them to begin looking for potential buyers for the grounds, although by law the Port of Antwerp has the right of first refusal.

As Flanders Today went to press, unions were meeting with the government to decide on the next step. The ACV union called on the regional government to work together with them on a "new Flemish industrial project" and demanded the immediate creation of a reconversion group to handle the fallout of the Opel closure. "Give us this factory," challenged ACV spokesman Walter Cnop. "We'll try ourselves to develop industrial activities. Accept your social responsibility and give us the factory for a symbolic euro, and we'll take care of our own future."

Peeters declined to react to the closure news until he had sat down with the Opel working group, which consists of the unions, the employers' federation Agoria, the Flemish region, the cabinets of government investment minister Ingrid Lieten and finance minister Philippe Muyters and Peeters' own staff. They were due to start meeting at 17.00 on Monday.

The closure of Opel Antwerp brings with it the additional loss of 180 jobs at Johnson Controls in Geel, Antwerp province, which supplies car seats to the Opel plant. "Johnson Controls is 100% dependent on Opel. If it's finished there, then the factory here will have to close as well," said local union representative Luc Meyns.

Meanwhile in Genk, Limburg province, the management of Ford Motors has guaranteed employment for the 4,500 workers until 2020, in return for their agreement on a new round of economies. The savings plan involves a cut of 12% in salary costs, the closure of the works canteen and the suspension of a bus service. In return, Ford Genk will build three new Ford models. The deal also provides security for some 2,000 people employed by suppliers in the area.

And in Ghent, Volvo Cars is to take on 270 new workers in response to increased demand, management said. This year's production will be 40,000 cars more than last year's. Volvo Ghent took on 200 new workers just three months ago.

(October 6, 2024)