Peugeot to chop UK’s Vauxhall automobile plant workforce by a 3rd

LONDON (Reuters) – Peugeot-maker PSA will lower an additional 250 jobs at its Vauxhall automobile plant within the north of England, lowering the workforce by a 3rd as a part of efforts to make the plant extra environment friendly by lowering its output to at least one shift.

FILE PHOTO – Vauxhall automobiles stand within the automobile park outdoors the Vauxhall Motors plant in Ellesmere Port, northern England May 17, 2012. REUTERS/Phil Noble

PSA acquired British model Vauxhall final 12 months when it purchased General Motors’ loss-making European arm, elevating fears amongst unions and lawmakers of job losses and potential plant closures as a part of cost-cutting plans.

The French group mentioned in October that it will lower about 400 jobs out of 1,900 individuals on the Ellesmere Port website by the top of 2017 to enhance the plant’s competitiveness.

On Monday the company mentioned it advised representatives of the Unite commerce union final week that it now wanted to go additional.

Vauxhall mentioned the preliminary voluntary redundancy programme introduced in October had been profitable however that it must provoke an additional voluntary programme for 250 extra staff.

“The teams are conscious of the need to accelerate the recovery of plant productivity to meet the challenges ahead,” its assertion mentioned.

Vauxhall, the British arm of the Opel model offered on the continent, mentioned it’s going to transfer to a single manufacturing shift on the website in April.

In December Opel mentioned that administration and workers representatives had reached an settlement that features shorter hours for its staff.

Vauxhall primarily builds the Astra Sports Tourer household property mannequin at Ellesmere Port and Peugeot is because of resolve as quickly as this 12 months whether or not to resume manufacturing – a choice seen as a key check of Britain’s means to draw funding because it leaves the European Union.

PSA Chief Executive Carlos Tavares visited the plant final 12 months to satisfy workers, a supply acquainted with the matter advised Reuters.

A Unite consultant at Ellesmere port cited falling demand for the vehicles constructed on the plant as a key downside.

“We’re building the wrong car,” John Cooper advised Reuters. “One car is no good to a car plant any more. It’s got to be at least two models.”

Reporting by Costas Pitas; Editing by David Goodman

Our Standards:The Thomson Reuters Trust Principles.

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