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October 7, 2005 9:00 AM, EDT

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elphi Corp. is asking the United Auto Workers for wage cuts of more than 50% and wants to eliminate pay for laid-off workers as part of the auto supplier's effort to stave off bankruptcy, the Associated Press reported.

Delphi wants to cut wages from $27 an hour to $10 to $12 an hour and eliminate a jobs bank that gives full pay to 4,000 laid-off workers, AP reported, Citing a letter according to a letter from UAW leaders posted on a union Web site.

Delphi has about 25,000 UAW-represented workers.

Delphi also wants to reduce health care benefits and vacation time for its hourly workers as part of a restructuring deal, the letter said. The company also wants the right to close or consolidate plants, AP reported.

A Delphi spokeswoman declined to comment on the company's negotiations with General Motors and the UAW, AP said.