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Renault suspends employee employment contracts, approves voluntary dismissal and just as Fiat adopts layoff

Written by Flavia Marinho
Published 30/09/2021 às 15:43
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Renault Factory / Source: Reproduction – Via Google

System, known as 'lay-off', will be used for 1,8 employees of Fiat and Volkswagen; at Renault, voluntary resignation program will cut 250 jobs

The crisis arrives at the multinational vehicle manufacturer Renault! Brazil's automotive industry is on the verge of collapse and is preparing for a year-end of low production and closed factories. So far, most automakers, such as Fiat and Volkswagen, have adopted collective vacation periods, voluntary dismissal plans, suspension of employment contracts, anticipation of holidays and employee days off to circumvent the lack of components for production, in particular semiconductors.

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Employees of the multinational Renault, located in São José dos Pinhais, approved yesterday afternoon (29/09) a set of measures that includes a voluntary resignation plan (PDV), involuntary resignation plan (PDI), a reduction in working hours and layoff. The proposals are the result of the global component crisis that has impacted the functioning of the automobile industry.

Check below the video of the President of SMC, Sérgio Butka, talking about the POS, PDI, Layoff and reduction of working hours approved at Renault

President of SMC, Sérgio Butka, talks about the PDV, PDI, Layoff and reduced working hours approved at Renault / Metal TV Credits

The global shortage of semiconductors – a fundamental component in modern vehicles – made the multinational Renault accumulate about 37 days without production in 2021 at the plant in Paraná. With this, the automaker alleges loss of competitiveness.

According to the Greater Curitiba Metallurgist Union (SMC), the joint proposal between the company and the union aims to reduce 250 job openings via PDV and PDI. In addition, the company must implement a layoff regime – in which employees do not go to the factory and have their salary reduced – and a reduction in working hours.

550 workers out of 5 employees in the production area at the Renault factory will be affected.

Vehicle production should be lower than forecast

In July, the National Association of Motor Vehicle Manufacturers (Anfavea) projected the production of 2,46 million vehicles for this year, which would represent a 22% increase compared to 2020. Affected by the pandemic, it was one of the worst years in the history of the sector.

This year, until August, 1,47 million vehicles were manufactured and Anfavea's forecast should not be confirmed. The automakers currently employ 103 workers, almost the same number as in the same period last year.

With a wage readjustment lower than inflation for three years, metallurgists declared yesterday (29/09) a strike at the General Motors factory

Yesterday (29), the metallurgists of General Motors in São Caetano do Sul approved the state of strike at the factory. The reason is the automaker's attempt to postpone the salary adjustment and reduce workers' rights. The base date for the category is September 1st and workers want a readjustment proposal that meets their needs.

Metallurgists also advocate job security for all injured workers. Today, only those hired before 2017 are entitled to this benefit. GM wants to maintain the exclusion of the new ones from this clause and, on top of that, reduce the stability period for the old ones.

While General Motors does not stop profiting, the wages of metallurgists lose their purchasing power. For three years, the readjustments have been lower than inflation. In the second quarter of this year, the group had a net profit of 2,8 billion dollars, which reversed all the losses attributed to the pandemic.

The union and CSP-Conlutas provide full support and solidarity to the struggle of the metallurgists of São Caetano.

“With rising prices and galloping inflation, debts do not wait, they cannot be paid in installments. It is absurd for GM to have the nerve to want to apply base date inflation only next year. We're in this fight together and we're going up alongside our comrades from São Caetano”, says Luiz Carlos Prates, Mancha, director of the National Executive Secretariat of CSP-Conlutas.

Flavia Marinho

Flavia Marinho is a Production Engineer with a postgraduate degree in Electrical and Automation Engineering, with extensive experience in the onshore and offshore shipbuilding industry. In recent years, she has dedicated herself to writing articles for news websites in the areas of industry, oil and gas, energy, shipbuilding, geopolitics, jobs and courses, with more than 7 thousand articles published. Her technical expertise and communication skills make her a respected reference in her field. Contact us to suggest an agenda, advertise job vacancies or advertise on our portal.

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