Vauxhall stages demo
July 15th, 2009 by Richard Aucock
VAUXHALL workers are staging a demonstration to Parliament, due to concerns over the sale of GM Europe.
The protest is to be staged in Parliament Square THIS MORNING.
Workers from both factories will join the run, in a range of Vauxhalls old and new. Trades union Unite is organising the campaign, due to the threat of the GME dramas to 25,000 UK jobs
The demonstration comes as hurdles in the sale of GM Europe rumble on. Previously on Car Dealer Magazine, we’ve reported on the Canadian giant Magna winning the bid to take over the European division.
However, it now seems this deal has hit the rocks.
The takeover is once again developing into a battle between Magna and two former potential bidders – China’s Beijing Automotive Industry Corporation, and Belgium’s RHJ International.
While some analysts say the Magna takeover is a done deal, to be signed in a few days, others reckon it’s now only 50-50. This is due to hitches over the finer print of the deal.
The FT says this means RHJ remains in advanced talks with GM about a takeover – and reckons it can help the business make money in as little as two years.
If a deal isn’t concluded soon, the European division risks running out of money; a while back, GM separated the European operations from its US concerns.
The fate of the UK factories is also in doubt, with many analysts predicting different outcomes for the plants in Luton and Ellesmere Port.
All of which means a deal most thought was all-but signed still remains up in the air. Hence today’s London demonstration.
Len McCluskey, Unite assistant general secretary, said the workers were demonstrating in London ‘because they want MPs to show support for their fight – not just for their future, but for the entire UK car industry.
‘We are pressing for our government to carry on doing what it says it is doing, and keep working towards a deal which protects our plants and jobs.’
By Richard Aucock
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