General Motors (GM) on Wednesday rebuffed allegations that it had acted unilaterally without consulting trade unions about its disinvestment from South Africa and the resulting imminent retrenchments.

This comes after GM announced last week that it was disinvesting from South Africa and that it had sold its local operations to Isuzu.

As a result, production and sales of all Chevrolet models will cease, and Isuzu will take over the firm’s operations in Port Elizabeth. Isuzu will also be taking over the parts centre because it will be manufacturing trucks and commercial vehicles.

Since that announcement, GM has filed a notice to retrench about 600 workers out of 1 500 workforce.

National Union of Metal Workers of South Africa (Numsa), angered by the decision, said on Wednesday that it was “disgusted” by the manner in which GM had conducted itself.

The union said the car manufacturer did not act in good faith by refusing to disclose the full terms of the agreement it signed with Isuzu.

Numsa said GM acted unilaterally and refused to engage trade unions and government on its decision, knowing full well that it must consult unions 60 days ahead of time before any announcement is made to retrench workers, but chose to wait until the last minute to impose this process on workers.

Replying to the allegations, GM’s spokesperson for Africa and Middle East, Denise van Huyssteen, said the company was committed to an open consultative process.

Van Huyssteen said the consultation process has been initiated with employees, their representatives unions and the Commission for Conciliation, Mediation and Arbitration (CCMA).

“We have held initial meetings with the union officials and the first consultation, under the auspices of the CCMA is scheduled for Thursday the 25th of May. GM is fully committed to participating in an open and constructive consultative process,” van Huyssteen said.

“It is anticipated that approximately 589 employees will potentially be impacted by the proposed restructuring. This number is not final and is subject to the consultation process with employees and their representative unions.”

Van Huyssteen said GM’s recent announcements about the future of its South African operations were based on the company’s global business priorities.

Meanwhile, the South African Communist Party (SACP) came out in support of workers at GM and its supply chain on Wednesday, denouncing the company for allegedly acting unilaterally and in bad faith towards the labour movement.

The SACP said the decision by GM had everything to do with profit maximisation and the aftermath of the international capitalist crisis rather than the loss of confidence in South Africa’s investment environment.