:quality(85)/cloudfront-us-east-1.images.arcpublishing.com/infobae/L46OSZJ6AVDFPO33GB6MNZDFHY.jpg "General Motors closes Colmotores and leaves Colombia: what will happen to its 800 employees")
The closure of Colmotores will leave at least 800 employees without jobs – Colpresa credit
General Motors’ decision to close its plant in Colombia, Colmotores, implies the massive dismissal of nearly eight hundred employees, for which it will need authorization from the Ministry of Labor.
In the statement announcing its decision, the North American company assured that it has already filed with the portfolio the corresponding authorizations to be able to move forward with “the collective dismissal of all of its workers due to total and definitive termination of work.”
Now you can follow us on our WhatsApp Channel and in Facebook.
For its part, the Ministry of Labor assured that it “will guarantee the protection of the labor rights of the workers of this vehicle assembly company,” and announced a labor inspection of General Motors, which in turn “will have rigorous monitoring so that “due process is complied with” during the dismissal of workers.
“We are committed to the defense of labor rights, for this reason I have instructed the Directorate of Inspection, Surveillance and Control to carry out a series of visits to the plant to inspect working conditions and verify that they comply with the standards required by the law,” said the Minister of Labor, Gloria Inés Ramírez.
Minister Gloria Inés Ramírez assured that she will protect the labor rights of Colmotores workers – credit @MintrabajoCol/X
Likewise, the Ministry plans to convene a social dialogue table with the parties to review the underlying situation and study the best solutions for workers.
Santiago Chamorro, president and general director of General Motors South America, indicated that the company has already developed “a plan to close labor contracts with benefits that are above legal requirements, as well as a broad and solid labor relocation program.”
For his part, the vice minister of labor relations, Edwin Palma Egea, said: “We have been informed that the company has requested authorization from the Ministry for collective dismissal. This process will be processed in accordance with the law. We ask the company not to abuse its position to force ‘voluntary’ withdrawals.”
Edwin Palma, Vice Minister of Labor – credit @ColegioAbogTrab/XGeneral Motors also had Zoficol in Colombia, the first stamping plant in Colombia – credit Colprensa
General Motors (GM) announces the closure of its Colmotores assembly plants in Colombia and OBB in Ecuador, marking the end of almost seven decades of operations in Colombia and adjusting its operations in Ecuador by the end of August 2024. The move aligns with a transformation strategy towards the marketing, sales and after-sales services of vehicles in both countries.
General Motors’ decision, revealed on April 26, implies the dismantling of the Colmotores plant in Colombia as of this date and the cessation of activities at the OBB factory in Ecuador around August of this year. The transformation responds to challenges such as market fragmentation and the underutilization of both plants, which operated considerably below their capacity, with Colmotores working at 9% and OBB at 13%. The company intends to transition towards a model of national companies dedicated to the marketing, sale and after-sales service of vehicles.
In addition, General Motors stated that it will continue to offer Chevrolet brand cars in Colombia and maintain the Chevyplan savings program, along with preserving its presence through associated companies and businesses such as GMICA-Isuzu, GM Financial, and its commercial partners. This change process includes the request for authorization for the collective dismissal of employees from the Ministry of Labor, with the purpose of complying with current labor regulations and guaranteeing an adequate transition for the affected workers.
The company also assured that it will evaluate various options to ensure the efficient and sustainable introduction of the next generation of vehicles in these markets, highlighting the importance of strategic adaptation to the changing dynamics of the automotive sector.