The staff of Hicom-Chevrolet Sdn Bhd have been informed that September 30 will be their last day of work as General Motors Corp (GM) finally severs its ties with DRB-HICOM Bhd to distribute Chevrolet vehicles here.
People close to the matter said some Hicom-Chevrolet staff will be deployed to DRB-HICOM's automotive complex in Pekan. Others will have to find a new job.
"Those affected will be given a salary compensation of one or two months," one source said.
It was earlier reported that DRB-HICOM lost the Chevrolet distribution job after GM decided not to renew the distribution pact that had lapsed on August 30.
DRB-HICOM denied the report but speculation was rife that GM was talking to five parties that included the Naza Group and Sime Darby Bhd for a new joint venture or partnership.
DRB-HICOM holds a 49 per cent stake in Hicom-Chevrolet, while the balance 51 per cent is owned by GM through wholly-owned General Motors Asia Pacific Holding Co LLC.
Sources said DRB-HICOM did make a final pitch yesterday to salvage the distribution pact, but its fate had already been decided earlier.
They said that in the interim, the warranty and services of Chevrolet vehicles here will be taken care of by Cergazam Sdn Bhd until GM decides on the new full-time distribution partner.
Cergazam is the super dealer for Chevrolet, owning four out of seven outlets selling the American vehicles nationwide.
Sources said DRB-HICOM could not convince GM that it will be able to continue to help develop the Chevrolet business in the country.
"It appears that Cergazam has shown more effort. The Chevrolet retail is controlled by Cergazam and DRB-HICOM doesn't and can't control Cergazam.
"Unless DRB-HICOM can set up its own retail system that is bigger than Cergazam's, then it is very unlikely both parties can co-exist in any new set-up," another source said.
No comments:
Post a Comment