Chief Executive of Fiat Chrysler Sergio Marchionne Says No Second Offer for G.M. Merger
Although Mr. Marchionne, the chief executive of Fiat Chrysler Automobiles still believes that automakers should merge in order to make the most out of their capital investments in new technology but says that he does not have a plan to make one more offer to General Motors.
Four months earlier Sergio Marchionne had made a proposal to merge with GM which was rejected and now Marchionne says that Fiat is not vigorously looking for a merger partner but would like to wait for the opportune moment.
After he participated in the contract talks between Fiat and the United Automobile Workers union, Mr. Marchionne said, "I was rebuffed once, and I won't go back to get my nose bloodied a second time."
The comments from Mr. Marchionne was given to reassure the leaders of U.A.W. that the Italian car maker will not chase any merger deal which threatens the factory jobs in America. The union for long has been worried about the merger that involved three of Detroit's automakers which could result in closure of plants and job cuts.
In the past years Fiat Chrysler has hired lot of workers in the entry level workers. In four years, since the company signed a contract with U.A.W, the auto manufacturer has added approximately 15,000 jobs.