A French court on Tuesday suspended plans by
carmaker PSA Peugeot Citroen to cut 8,000 jobs and close an assembly
plant, ruling the company did not consult enough with staff over the
The Court of Appeal in Paris ruled in favour of a trade union representing workers at Faurecia, a subsidiary of PSA that manufactures car parts.
The union said PSA had failed to properly inform Faurecia workers when it announced the restructuring plan last year.
PSA said it had noted the decision and would continue to negotiate the plan with unions.
Europe's second-biggest carmaker caused dismay in France last year when it announced it would close an assembly plant near Paris in 2014 and cut 8,000 jobs nationwide.
The government initially reacted with outrage but an expert report later found Peugeot had no choice but to cut jobs and pare back production faced with dwindling car sales in Europe.
Most Popular Stories
- National Retail Federation Reduces Sales Forecast
- Sporty Ford Fiesta Fires on All 3 Cylinders
- Pandora Tumbles in Late Trading
- Execs Help Entrepreneurs, Get Chevy Volts
- Small Firms Take Out the Trash in Jersey
- Citigroup Unit Paying $5 Million to Settle SEC Charges
- Amazon Hiring on Calif.'s Central Coast
- Obama Seeks Help From Central American Leaders
- 'Big Bang' Writers Hit Comic-Con
- CalPERS Still Profiting From Tainted Investments