Renault and unions to sign three-year deal, union sources say

French carmaker Renault (RENA.PA) looks set to win union backing for a three-year plan including 1,700 job cuts, sources at three union groups said on Monday.

Though the CGT labour group has yet to express its opinion on the agreement, which is due to be signed on Tuesday, the backing of the CFE-CGC, CFDT and FO unions means the plan already has the support of a majority of workers.

Under the deal, which also envisages a 35-hour working week at all French sites, Renault commits itself to developing nine new car models at its French plants between 2022 and 2024, the sources said.

Renault has also said it will hire 2,500 people and offer training to help workers convert to the production of electric vehicles.