President of the International Union, United Automobile, Aerospace and Agricultural Implement Workers of America (UAW), Ron Gettelfinger, and UAW vice president Richard Shoemaker have voiced strong concerns over the bankruptcy announcement made by the USA’s largest auto supplier, Delphi on October 8.

The UAW is deeply disappointed over the decision by the board of directors of Delphi Corp. to file for bankruptcy. Delphi’s decision is obviously an extremely bitter pill for the 25,000 Delphi workers represented by the UAW as well as for the thousands of workers represented by other unions and non-union salaried Delphi employees – all of whom have worked hard to try to make Delphi’s US operations successful.

Over the past several months, the UAW has engaged in discussions with Delphi to craft a mutually agreeable approach to the company’s financial problems that would have enabled Delphi to avoid filing for bankruptcy. We made it clear to Delphi that we were willing to continue discussions and to consider a wide range of options. However, from the outset of talks about a possible bankruptcy filing, Delphi made it clear that the UAW alone could not solve the company’s problems. Delphi today informed the UAW that it was filing for bankruptcy – more than a week before the new federal bankruptcy law will go into effect.”

As part of bankruptcy reorganisation, Delphi is expected to close many of its 31 US plants and cut large numbers of employees. Delphi currently employs
50,000 workers in the USA.