FRANKFURT, Germany (Oct. 20) — Michelin has budgeted $250 million in investments through 2010 in its activities in Germany, provided workers there approve a change to a 40-hour workweek and improve productivity by 30 percent.
Michelin CEO Michel Rollier disclosed the firm´s plans in a speech to customers recently in Frankfurt. Michelin will mark 100 years of activity in Germany on Dec. 17.
The standard workweek at Michelin´s German plants is 37.5 hours. Michelin wants its 5,700 workers in Germany to approve a change back to 40 hours at the same pay scale, which would work out to an approximate 6-percent cut in pay per hour.
Michelin is making its demands in order to improve the company´s competitiveness. Besides the change in the workweek, Michelin will focus on reducing its energy costs through improved manufacturing efficiencies.
Michelin Reifenwerke K.G.a. operates four tire plants in Germany, making passenger and light truck tires in Bad-Kreuznach and Hallstadt and truck tires in Homburg/Saar and Karlsruhe. The company also operates a bead-wire processing plant in Trier.
To mark the firm´s 100th anniversary, Michelin will build a training center at its Karlsruhe headquarters.