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Delphi Packard lays off 700 Czech staff

Delphi Packard lays off 700 Czech staff

Write: Kalden [2011-05-20]
May 25-Automotive parts manufacturer Delphi Packard is planning to lay off almost 700 workers at an electrical cable harness production plant at Ceska Lipa in the Czech Republic.

The redundancies, representing almost half the workforce at the facility, are set to be made in stages before the end of this year. An initial employee lay off will take place in June, while a larger group of workers is scheduled to be let go in the second wave during the autumn, union leader Joseph Stredula was quoted as explaining by the Czech CIA news service.

This plant reorganisation reflects the end of contract work carried out by Delphi Packard at the Ceska Lipa unit for vehicle manufacturers Audi and BMW.

The Delphi cutback will have a devastating effect on the employment situation in the local area as the plant represents around 50% of its jobs, according to the union leader. The second phase of redundancies will not take a toll until the first quarter of 2011.