Delphi Corp. today announced results of the Hourly Special Attrition Plan reached on March 22, 2006 and the Hourly Special Supplemental Attrition Plan reached on June 2, 2006 between the UAW, General Motors and Delphi.
Approximately 12,400 Delphi employees, representing roughly 85% of the retirement-eligible UAW workforce, elected to retire by January 1, 2007. Approximately 1,400 employees elected the buyout option.
Nearly all of Delphi’s U.S. hourly employees represented by the UAW were eligible for the buyout program, with approximately 14,600 of those employees eligible to participate in the retirement and pre-retirement program.
Certain eligible U.S. hourly employees accepted a lump sum incentive of $35,000 to retire while other eligible employees under the program elected buyout packages ranging from $40,000 to $140,000.
Under the proposed program, GM has agreed to assume the financial obligations related to the lump sum payments to be made to eligible Delphi U.S. hourly employees accepting normal or voluntary retirement incentives.
Additionally, GM will fund certain post-retirement employee benefit obligations related to Delphi employees who transition to GM under the plan for purposes of retirement as well as half of employee buyout costs.
Delphi filed for Chapter 11 reorganization of its operations in the United States on Oct. 8, 2005 in the U.S. Bankruptcy Court of the Southern District of New York and under the jurisdiction of Judge Robert Drain.
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