Volkswagen may still close major plant in Brazil

German automaker Volkswagen started sending letters to more than 1,000 workers this week informing they will be laid off after November 21, according to the workers' union. The decision came after the government announced it would delay giving out a loan of R$ 500 million (around US$ 230 million) to the company until it reached an agreement with the workers union regarding its plan to fire 3,600 of the 12,400 workers at its Sao Bernardo plant, in Sao Paulo. If the union does not accept Volkswagen's demands, the company threatens to close the plant altogether and fire some 6,000 people. The moves are said to be vital in order to remain competitive in the market, according to the company.