According to a statement issued by the Sindmetal metalworkers’ union, General Motors (GM) has decided to reverse its decision to lay off 1,245 employees at its factories in Sao Jose dos Campos, Sao Caetano do Sul, and Mogi das Cruzes in the state of Sao Paulo.
Following the rejection of the US automaker’s request for an injunction to support the layoffs on 3 November 2023 by a Brazilian labour court, it has been mandated that the company cannot carry out any more layoffs of new employees without the necessary negotiations in advance.
After a 13-day strike, the Sindmetal union celebrated this significant victory, calling the reversal of layoffs a commendable and ‘historic’ achievement. According to a press release, GM officials will meet with union representatives to formalise the agreement.
The restoration of jobs was made possible by the combined efforts of workers in three cities. GM employs 4,000 people in So José dos Campos, where it manufactures engines, transmissions, the Trailblazer SUV, and the S-10 truck.
Following this recent development, GM representatives have scheduled a meeting with union leaders to formally announce the cancellation of the layoffs in Brazil.
Two weeks ago, GM workers in Brazil went on strike in protest of layoffs. While GM justified the layoffs as a cost-cutting measure, the workers, backed by their union, urged the company to reconsider its decision.