WASHINGTON — General Motors and Chrysler will reconsider decisions to close thousands of dealerships as part of a compromise meant to stave off federal legislation that would require them to keep showrooms open.
The decision, announced Thursday, raises the prospect of new life for some of the more than 3,000 dealerships that were slated to close. The shutdowns are part of a broad restructuring. Dealers have loudly protested the decisions.
The plans call for face-to- face reviews with dealerships and offer binding arbitration. The largest U.S. automaker also said it would be more transparent about how it picked the dealers that will close. It will also speed up payments to assist those targeted for shutdown.
GM has said it will cut 2,400 dealers from its 6,000-dealer network by next fall.
Chrysler had said it would slash 789 dealers.
