SAO PAULO – Workers at the General Motors plant in the southeastern Brazilian city of Sao Jose dos Campos on Thursday ended the strike they started late last week to protest against the company’s plans to lay off 794 employees.
The president of the Steelworkers Union, Antonio Ferreira de Barros, made the announcement in a statement, saying the workers agreed at an assembly to end the job action after reaching a deal with the company’s management.
The union voted for the strike last week, saying the company was providing no guarantees that 794 employees included in a two-month paid furlough program would get their jobs back.
It said it ended the strike because the company changed course and will now furlough 650 workers for five months with full pay before reinstating them for an additional three months.
The automotive sector in Brazil, which is experiencing slow growth and high inflation, laid off 12,000 workers in 2014.
Volkswagen announced last month that it had decided to lay off 800 workers at its plant in the southeastern city of Sao Bernardo do Campo, but the automaker halted those plans after a 10-day strike.