VAUXHALL Motors' parent company is looking to shed 10% of its salaried staff from plants across Europe - including Ellesmere Port.
But company bosses say it's too early to quantify the impact on its UK business and claim they are talking to the unions on an almost daily basis.
Project Olympia, GM Europe's turnaround plan, is aimed at restructuring the European manufacturing operation.
Michael Burns, president of GM Europe, says with the formal signing of a pan-European agreement by management and employee representatives the way has been paved for discussions to introduce savings.
He said: 'The company mapped-out several initiatives aimed at restructuring the manufacturing footprint in Europe.
'These proposed initiatives were reviewed at a meeting of the European Employee Forum and local discussions have started with unions at various GM Europe locations.'
Mr Burns revealed initiatives included building 350,000 fewer cars a year by 2004.
'Minor product adjustments in various locations will take place over the next two years,' he said.
'All Opel, Vauxhall and Saab plants in Europe will strive for efficiency improvements to move to world-class benchmark productivity standards.'
Mr Burns went on: 'We have now made an important step forward in the overall Olympia Turnaround Plan.
'Discussion and implementation of specific cost and capacity reduction measures at local level, combined with the significant brand initiatives currently under development to increase revenues, will help to put us on the path to a sustainable and profitable future.
'We are now starting the transition from the analysis and planning phase towards the implementation of various Olympia initiatives and will step up that effort considerably during the next couple of weeks.'