That was readily apparent last June, when Automotive News first reported that the supplier was planning to put its Rochester operation into Chapter 11 bankruptcy protection to break an 8-year labor contract it had signed the previous fall. Now, Valeo has done exactly that.
Valeo wants help from its workers to cope with the cost-cutting pressure from automakers. But this action is tantamount to a stick in the eye.
Last June, Valeo indignantly denied it wanted to use the courts to get out of its labor contracts. It’s now plain how much the company’s word is worth.