Delphi unions object to rejection of collective bargaining agreements

By Caroline Salls

Pittsburgh, April 24 - Delphi Corp.'s steelworkers, electrical and machinists' unions objected to the company's motion to reject its collective bargaining agreements, according to a Friday filing with the U.S. Bankruptcy Court for the Southern District of New York.

According to the objections, the company "opted to place litigation before bargaining and to place confrontation before consultation" in its Chapter 11 case by setting in motion rejection of the bargaining agreements from the onset of the case.

The unions said the company filed its motion to reject the agreements and its plans to close two-thirds of its U.S. manufacturing operations after very little bargaining.

"All parties are now hurtling toward a trial on May 9 with little idea of how these businesses will be reorganized, other than that the hourly workers will bear the brunt," the steelworkers said in their objection.

Delphi, a Troy, Mich.-based automotive electronics manufacturer, filed for bankruptcy on Oct. 8, 2005. Its Chapter 11 case number is 05-44481.

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