This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7897361.stm
The article has changed 5 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Europe cool on GM calls for help | Europe cool on GM calls for help |
| (20 minutes later) | |
| Germany and Sweden have reacted coolly to calls from US car giant General Motors for billions of dollars of aid. | Germany and Sweden have reacted coolly to calls from US car giant General Motors for billions of dollars of aid. |
| Swedish industry minister Maud Olofsson said it was up to the US carmaker to save its Sweden-based unit Saab. | Swedish industry minister Maud Olofsson said it was up to the US carmaker to save its Sweden-based unit Saab. |
| The troubled US carmaker said in its new survival plan that it needed about $6bn (£4.2bn) from several governments, including Germany, Sweden and the UK. | The troubled US carmaker said in its new survival plan that it needed about $6bn (£4.2bn) from several governments, including Germany, Sweden and the UK. |
| Germany's Chancellor Angela Merkel called for a clear plan for its Opel brand before aid could be considered. | Germany's Chancellor Angela Merkel called for a clear plan for its Opel brand before aid could be considered. |
| "The task that now lies ahead of us is a task that Opel needs to address, together with its parent company General Motors," Ms Merkel said. | "The task that now lies ahead of us is a task that Opel needs to address, together with its parent company General Motors," Ms Merkel said. |
| In a separate development on Wednesday, Volkswagen said it had received two billion euros ($2.5bn) from Germany's bank rescue fund to improve the availability of credit for car loans. | In a separate development on Wednesday, Volkswagen said it had received two billion euros ($2.5bn) from Germany's bank rescue fund to improve the availability of credit for car loans. |
| Difference | Difference |
| General Motors said on Tuesday it would cut 47,000 jobs around the world by the end of the year, including 26,000 outside the US. | General Motors said on Tuesday it would cut 47,000 jobs around the world by the end of the year, including 26,000 outside the US. |
| They have in practice removed their hands from Saab Maud Olofsson, Swedish industry minister US car giants seek $21bn funding | They have in practice removed their hands from Saab Maud Olofsson, Swedish industry minister US car giants seek $21bn funding |
| It is not clear how many jobs will be eliminated in western Europe, where GM employs about 50,000 workers, or whether any plants will be closed. | It is not clear how many jobs will be eliminated in western Europe, where GM employs about 50,000 workers, or whether any plants will be closed. |
| GM's UK subsidiary, Vauxhall, employs 2,000 people at Ellesmere Port in Cheshire and 1,400 at Luton. | GM's UK subsidiary, Vauxhall, employs 2,000 people at Ellesmere Port in Cheshire and 1,400 at Luton. |
| Vauxhall said negotiations with unions on restructuring in Europe were continuing but said results are expected in "months not weeks". | Vauxhall said negotiations with unions on restructuring in Europe were continuing but said results are expected in "months not weeks". |
| FROM THE BBC WORLD SERVICE More from BBC World Service | |
| Nikki Rooke from the Society of Motor Manufacturers and Traders, however, said the latest developments did not necessarily mean bad news for UK workers. | Nikki Rooke from the Society of Motor Manufacturers and Traders, however, said the latest developments did not necessarily mean bad news for UK workers. |
| "Obviously it is a very worrying situation, but there is a difference between GM operations in the US and Vauxhall in the UK, and really GM across Europe," she said. | "Obviously it is a very worrying situation, but there is a difference between GM operations in the US and Vauxhall in the UK, and really GM across Europe," she said. |
| "What we're doing is talking to government at the moment to see what can be done to really support the automotive jobs within the industry in the UK, looking at how those producing in the UK can access finance and credit and also what UK government can do to really boost demand." | "What we're doing is talking to government at the moment to see what can be done to really support the automotive jobs within the industry in the UK, looking at how those producing in the UK can access finance and credit and also what UK government can do to really boost demand." |
| Discussions | Discussions |
| Ms Olofsson said she was "deeply disappointed" in General Motors. | Ms Olofsson said she was "deeply disappointed" in General Motors. |
| It is not clear whether Vauxhall will be affected by GM's plans | It is not clear whether Vauxhall will be affected by GM's plans |
| "They have in practice removed their hands from Saab... they are handing over responsibility to Swedish taxpayers." | "They have in practice removed their hands from Saab... they are handing over responsibility to Swedish taxpayers." |
| For its German-based Opel business, GM Europe (GME) said that management and unions were in talks to see whether forced redundancies and plant closures could be avoided. | For its German-based Opel business, GM Europe (GME) said that management and unions were in talks to see whether forced redundancies and plant closures could be avoided. |
| "Management is willing to consider strategic third-party partnerships, alliances and equity stakes in case such an approach is seen as beneficial for GME and Opel's/Vauxhall's viable and sustainable future," it said. | "Management is willing to consider strategic third-party partnerships, alliances and equity stakes in case such an approach is seen as beneficial for GME and Opel's/Vauxhall's viable and sustainable future," it said. |
| 'Necessary concepts' | 'Necessary concepts' |
| Germany said GM should come up with a plan for Opel if it wanted to get state support. | Germany said GM should come up with a plan for Opel if it wanted to get state support. |
| GM AUTO RESCUE PLAN Cash aid sought - $16.6bnJob cuts - 47,000Production cut - 5 plantsSales target 2009 - 11.5 to 12mCar models axed - 12 Source: GM | GM AUTO RESCUE PLAN Cash aid sought - $16.6bnJob cuts - 47,000Production cut - 5 plantsSales target 2009 - 11.5 to 12mCar models axed - 12 Source: GM |
| "At the moment, politicians can't do anything because the necessary concepts from Opel are not available," German Chancellor Angela Merkel said on Wednesday. | "At the moment, politicians can't do anything because the necessary concepts from Opel are not available," German Chancellor Angela Merkel said on Wednesday. |
| "And that can't happen without the parent company in Detroit." | "And that can't happen without the parent company in Detroit." |
| The uncertain future of GM's European businesses outraged its workers. | The uncertain future of GM's European businesses outraged its workers. |
| "Opel makes a profit, and we had a profit last year as well," said Francisco Jimenez, an Opel worker and IG Metall union functionary in Ruesselsheim, Germany. | "Opel makes a profit, and we had a profit last year as well," said Francisco Jimenez, an Opel worker and IG Metall union functionary in Ruesselsheim, Germany. |
| "Nobody on the outside knows that, they just always think that since the parent is falling apart that Opel is also bloody rubbish." | "Nobody on the outside knows that, they just always think that since the parent is falling apart that Opel is also bloody rubbish." |