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ۼ     E-mail     ۼ    2004-07-14
    츮 Źմϴ. ȸ    3074
Mitsubishi Motors asks Toyota to hire workers
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Reuters / July 13, 2004
2004. 07. 13

TOKYO -- Mitsubishi Motors Corp. said on Tuesday it had asked Toyota Motor Corp. to hire workers from one of its domestic car plants and help parts suppliers that will be hit by the factory"s planned closure.

"The talks with Toyota were started as Mitsubishi Motors intends to introduce potential local employers to workers who wish to look for a new job rather than relocate," MMC said in a statement.

Negotiations with Toyota began on Tuesday, and the companies aim to finalize plans by the end of this month, it added.

The Okazaki plant, scheduled to shut down at the end of next year, is located near several of Toyota"s factories in Aichi prefecture, central Japan.

Mitsubishi is struggling to rebuild itself after 37 percent-owner DaimlerChrysler AG abandoned plans to rescue it earlier this year, while sales have tumbled further on a series of revelations of cover ups of vehicle defects.

It brought forward plans the Okazaki plant closure by a year as part of an effort to speed up its restructuring process.

Mitsubishi did not say how many of the 1,600 plant workers it would ask Toyota to take on, but Takashi Nishioka, chairman of Mitsubishi Heavy Industries Ltd., told the Nihon Keizai business daily in an interview Toyota may hire some 200-300 workers from the plant.

Mitsubishi Heavy is a major shareholder in Mitsubishi Motors.

Toyota, the world"s second-largest carmaker, declined to comment on whether it would help the suppliers. It has said it is looking into the possibility of absorbing some jobs at the plant in consideration of the impact on the local economy.

Mitsubishi has said that four-fifths of the workers would be transferred to its Mizushima plant in western Japan, while the rest will be redistributed to a nearby plant that makes the Pajero model and two engine plants.

Mitsubishi"s vehicle sales excluding mini-vehicles sank 64 percent in June from the year earlier, while sales in the United States slid 48 percent.

Given the poor performance, the government announced on Tuesday it would boost financial assistance to Mitsubishi"s subcontractors and dealers, doubling credit guarantees to 560 million yen ($5.17 million).

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