General Motors (GM) has told local Holden dealers that they have until May to come to a decision over the compensation offer put forward by the American manufacturer, following GM’s decision to retire the Holden brand earlier this year.

According to CarAdvice, a confidential email was sent to dealerships following a meeting between executives and lawyers from both parties stating they must inform GM-Holden if they intend to accept the compensation offer by the end of May.

The email also notes that the settlement figure will be paid in three separate instalments rather than one lump sum.

The email comes at a time where many dealers are facing uncertainty due to the ongoing COVID-19 pandemic, which may affect their decision making.

“The financial circumstances of many businesses are currently strained and uncertain,” said one GM-Holden spokesperson.

“This is a time when very careful financial planning is required.

“Holden requires certainty on the timing of dealer compensation package acceptance so we can manage our cash obligations responsibly.”

Source: Autotalk | GM-Holden dealers issued May decision deadline

22 April 2020