The Brazilian subsidiary of General Motors said Tuesday that it suspending production at its manufacturing complex in Sao Jose dos Campos pending an agreement with unions on the elimination of up to 1,500 jobs.
"The goal of the decision is to protect the physical integrity of the employees while discussions continue with the union representatives in relation to the viability of one of the plants at the complex," GM Brasil said in a statement.
The company says it has to yet to decide on shutting down the passenger-car assembly line at Sao Jose dos Campos, a city about 100 kilometers (60 miles) from Sao Paulo.
GM executives, union representatives and government officials are scheduled to resume talks on Wednesday.
"The company took into consideration strong evidence - in recent hours and days - of internal mobilization at the plant and understands that the current moment is delicate and prefers not to expose its employees to incitement and provocations," GM Brasil said.
The 7,500 people who work in the eight plants of the Sao Jose dos Campos complex will remain on paid leave for the time being, the company said.
The municipal government sent police to the site to prevent acts of vandalism during the negotiating process. EFE