Delphi Asks Court to Toss Contracts by Joseph
Supplier plots new course — and asks the judge to turn it that way.
GM Says Turnaround Gaining by Joseph Szczesny
A week of financial news could contain the seeds of recovery.
Delphi Corp. believes it can restructure and reduce the wages of its workers without a nasty strike, says the company’s top executive, Robert “Steve” Miller.
said it was too soon to write off the domestic auto industry as a failed
enterprise and predicted it will emerge from its troubles a stronger and
healthier one just like the
“Don’t go making funeral
arrangements just yet for
However, he also stressed that Delphi needs a competitive wages and benefits package from its unions and insisted that he is not asking for anything that the UAW and other unions haven’t given other suppliers in the U.S. with whom Delphi now competes, he said.
Delphi filed petitions last week
asking a bankruptcy judge in
Miller, however, said
“We cannot keep talking and losing money indefinitely,” said Miller, who added that the time built into the bankruptcy procedures could help move both sides toward some kind of solution.
however, said that the court petition was one way to keep the negotiations with
company’s union moving forward and predicted the company would eventually
succeed in re-negotiating all of its labor contracts.
“Despite the negative views expressed by some, we see the filings as a means to keep the process going. Think of it more as an insurance policy. It’s something you need to have but hope you’ll never use.
“Our duty as the management and the board of directors
“We’ve got a couple of months to work things out. That’s plenty of time if everyone continues with the same good constructive spirit as we have seen in these past few months. And even if that time runs out, and even if we get a court ruling permitting us to reject our labor contract, there is no mandate for us to act unilaterally. We would assess the situation at that time, and continue to seek a consensual resolution if we believe such an outcome is achievable,” Miller added.