Continental and unions find “basis for Stöcken compromise”

By Liz White, ERJ staff

Hanover, Germany-Continental AG says it has established a route for settling the current dispute with its workforce over planned closure of passenger car tyre production at its Hanover-Stöcken plant, with the loss of 320 jobs.

Following negotiations 24-25 Jan, Conti said its executive board and representatives of the IG Bergbau, Chemie, Energie union as well as of the employees' council have negotiated a compromise, whose key elements are:

- a flexible adaptation concept for the period from 1 Jan to 31 Dec 2007;

- staff cutbacks that are as socially acceptable as possible;

- the creation of more jobs in truck tyre production and research and development at Stöcken, as well as opportunities for trainees.

The IGBCE union statement about the tentative agreement, expected to be finalised in February, said the German tyre-maker "has agreed to return to an agreement put in place in May 2005.

"That agreement called for no job cuts before the end of 2007," IGBCE said. Throughout 2007, Continental will offer job opportunities to Stöcken workers in other facilities and also offer early retirement options to eligible workers, the union statement said.

Conti said a working group consisting of management and employees' council members will be formed, with the task of analysing future perspectives for the plant. The compromise has yet to be approved by the responsible employee representative groups.

"I am confident that, with this compromise, we have taken an important step in the right direction together," stressed Continental board member Thomas Sattelberger, who is responsible for human resources and labor relations. "We want to have reached a final, mutually acceptable agreement by the middle of February."

Conti's statement pointed out that its executive board had listed the possibility of adding a high-tech cell for truck tyres at Stöcken with some 30 new jobs. Also, the company said, it plans to boost R&D with additional jobs in 2006. And finally, the company mentioned the future possibility of increasing the number of trainees.