BERLIN, April 5 (Xinhua) -- Following Peugeot owner PSA Group's merger with Germany's Opel, its chairman Carlos Tavares assured German economy minister Brigitte Zypries Wednesday that the company will honor all existing employment and plant guarantees.
"I have reaffirmed PSA's commitment to continue the valued cooperation with employee representatives," Tavares said after a high-level meeting here.
The current jobs and wages agreement is in place until 2018 and continued investment into German sites is also secured until 2020. The long-term future of the Opel plants is as yet unclear as the German car brand has been operating at a loss for many years.
A joint release by PSA and the German Federal Government said PSA's intention to create, together with the unions and the works council, a long-term perspective for all Opel brands, sites and the development center in Russelsheim.
Tavares further confirmed PSA's intention to continue operating Opel Group (including Britain's Vauxhall) "as a stand-alone and unified company with independent brands."
PSA will pay 2.2 billion euros (2.35 billion U.S. dollars) to General Motors, the current owner of Opel, for its European business including the financial division.
