VIENNA -- Opel plans to cut 350-400 of the 1,200 jobs at its Austrian gearbox plant near Vienna due to the expiration of a large order for transmissions, the head of the Vienna works council told ORF radio.
The Vienna staff were informed about the planned job cuts at a works meeting, Franz Fallmann told ORF.
"The development of personnel means that there are 350 to 400 colleagues too many on board," Fallmann said, confirming an earlier report in the daily Kleine Zeitung. Negotiations about a redundancy program are about to start.
The plant builds 4-cylinder engines alongside 5- and 6-speed transmissions at the plant, according to Automotive News Europe's powertrain map.
PSA bought Opel and its British sister brand Vauxhall from General Motors in 2017 in a $2.6 billion deal. Last year, Opel posted its first full year profit since 1999 and contributed positive cash flow of 1.35 billion euros ($1.52 billion) towards the group's 3.5 billion euros.
The Vienna production site itself will be retained and produce a 6-speed manual gearbox from the summer, Fallmann said.