Spain: PSA plant in Vigo to resume production at low capacity and set up a new partial unemployment scheme to run until year end

The Vigo plant of French automobile group PSA is preparing to resume activity from 27 April , following a six-week lockdown in Spain after the state of alert decree issued on 15 March. However, this return to work should be gradual and at low capacity, since order volumes are expected to be diminished. This new business landscape has prompted management to present a temporary job reduction plan (ERTE) to the works council, justified for organisational and production reasons. The plan guarantees 80% of gross salary until 31 December. This proposal was accepted by the SIT and UGT unions but was rejected by CCOO and the Galician nationalist unions CIG and CUT.