PARIS, March 5 /PRNewswire/ -- Valeo today announced that it has called for a meeting of its European Works Council Bureau on 18 March to discuss proposals for the restructuring of its Santo Tirso (Portugal) facility which produces wiring harnesses and for its Madrid (Spain) facility which produces Wiper systems. The Santo Tirso facility is part of the Electronics and Connective Systems Branch, and the Madrid facility is part of the Wiper Systems Branch.
Despite the restructuring activities undertaken at Santo Tirso in 2003, the economic situation has continued to worsen and volumes have dropped significantly. The facility, which employees 339 people, cannot be competitive as compared with production in lower cost countries, and it is now envisaged to close the plant.
The plant of Villaverde in Madrid currently produces both wiper motors and wiper arms and blades. The introduction of new technologies for wiper arms and blades has led to a drop in volume of the products produced in Madrid. The production of these products is no longer competitive and it is envisaged to move production to other Valeo facilities. This would involve a reduction in headcount of 173 employees - 38 percent of the total number of employees at the facility. Production of wiper motors will continue in Villaverde.
In both cases, Valeo will put in place the actions necessary to find alternative jobs for affected employees through internal and external redeployment activities. The company will work with unions and local agencies to this effect.
Valeo is an independent industrial group fully focused on the design, production and sale of components, integrated systems and modules for cars and trucks. Valeo ranks among the world's top automotive suppliers. The Group has 129 plants, 65 R&D centers, 9 distribution centers and employs 68,200 people in 28 countries worldwide.
SOURCE Valeo
CONTACT: Kate Philipps, +33-140-55-2065, kate.philipps@valeo.com
© PR Newswire
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