SEOUL (Reuters) - General Motors' (N:GM) South Korean unit and its labor union failed to reach a wage deal, a spokesman of the unit said on Friday, after talks that sought to stave off a threat of bankruptcy for the loss-making unit.
GM Korea plans to hold a board meeting at around 8 p.m. local time to discuss filing for a court-led rehabilitation proceeding as planned, a source familiar with the matter said, adding that it was not clear if another round of talks has been scheduled or not.
GM unveiled a major revamp plan for its unit in February and has been seeking wage concessions from the union as well as government funding and incentives to save three of its factories in the country. One other plant is due to be shut down by May.
The U.S. automaker had previously said that without a restructuring deal by Friday, the unit would likely seek bankruptcy protection.