Economy & Politics

BorgWarner officially in command of Delphi

The buyback was finalized in early 2020, it takes effect on October 8. Date on which the first departures of employees linked to the social plan begin.

Patrick JACQUEMOT

The buyout was finalized in early 2020, it takes effect on October 8. Date on which the first departures of employees linked to the social plan begin.

Between announcements of job cuts and sectoral tripartites (aviation, steel), the social return was already intense. Here is another piece of information to add in this news: the automotive supplier BorgWarner is officially the new manager of Delphi Technologies, including its Bascharage plant. From its headquarters in Michigan, the American firm once again welcomed this choice on Thursday. Investment which, she said, “will boost activity in key areas such as thermal and hybrid propulsion systems, industrial vehicles and the aftermarket.”

But for the OGBL, this change in control remains worrying. Certainly, BorgWarner is not the first to enter the automotive world. Already present in 19 countries and counting nearly 70 production sites, the group is a world leader in the field of clean and efficient technological solutions for combustion, hybrid and electric vehicles. Before the health crisis, the company employed nearly 30,000 people. And it is precisely on employment that the Luxembourg union has fears.

The OGBL recalls in particular that in a single decade, the equipment supplier Delphi has gone through three job retention plans in the Grand Duchy, four social plans as well as several sales of partial activities (to Katcon in 2009 or to Mahle in 2016). And the last social plan dates from last February … The downsizing, suspended due to the Covid crisis, finally began on this “day one” of the takeover by BlogWarner. “What cynicism”, comments the union.

Thus, the workforce of the Luxembourg site, which was around 750 employees in 2008, should be limited to 300 next year. While the OGBL says it welcomes BorgWarner’s intention “to want to continue, or even develop, the activities of the electrical branch (E & E – Electrification and Electronics)”, there are still many concerns about the future of the plant.

In fact, most of the test resources (equipment which was nevertheless co-financed by the Luxembourg State) were transferred to other sites, sold or even destroyed or thrown away. “We are simply witnessing an almost complete dismantling of activities related to combustion engines and the ” components ” division,” said the union organization. The new owner is therefore asked to quickly announce its orientations for Delphi, its investment strategy and to guarantee both employment and respect for the social benefits of the current collective agreement in place.


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