Vauxhall
There are growing concerns over the future of two Vauxhall manufacturing plants in the UK as talks in Germany have broken down over who will buy it’s parent company GM Europe.
With two of the bidders threatening to cut jobs across Europe, car industry experts and union leaders have accused the UK Government of not doing enough to safeguard the future of UK jobs. Tony Woodley of the Unite union insists that the UK government should be involved in the negotiations and ‘batting for Britain’.
Woodley says the government needs to do more to safeguard the UK work force and is concerned that there is no representation at the negotiating table and no offer of financial help from government. He warns that “Common sense tells you the axe will fall outside Germany, outside Spain and outside Belgium. The government has got to do more.”
Car industry expert Professor David Bailey joined the criticism by saying the government has been ‘extremely vague, far too slow and far too reactive’ in their involvement, adding that, taking into account suppliers as well as the Vauxhall workers themselves, between 15,000 to 20,000 UK jobs are being put at risk.
In response Business Secretary Peter Mandelson insisted ” We are making sure the future of Vauxhall is secured.” He added that the government would be willing to negotiate funding with the new management, depending on it’s plans for Vauxhall.
GM have until 1st June to restructure it’s debt or file for bankruptcy. There are just two potential bidders for the European arm, Italian car giant Fiat and Canada/Austrian car parts firm Magna.
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