Vauxhall UK job losses rise to 500 with administrative cuts

General Motors is to cut a further 154 administrative jobs from Vauxhall UK around the country on top of previously announced job cuts at its Luton plant.

Nick Reily, the chief executive of Vauxhall and its European counterpart Opel confirmed that 369 jobs will be cut at the Luton van making factory — while 154 car sales and admin roles will be axed across the country, including 15 at Luton.

No jobs will be lost at the Ellesmere Port factory on Merseyside.

The cuts are part of a plan unveiled today to axe 8,300 jobs across Vauxhall and Opel’s European operation to try to bring the brands to break even by 2011.

Mr Reilly said that the company would invest €11 billion (£9.7 billion) in its European operations by 2014 and added that the goal was to renew four fifths of its product line even as it shrinks to a profitable size.

“We now have a road map, we know where we are headed and we are working with all our partners so we can switch into high gear for a successful future,” he said.

Labour leaders and management have clashed over the project — the outline of which was unveiled in December — partly because it includes the controversial closure of Opel’s Antwerp plant in Belgium and 4,000 of the job cuts will be in Germany where half of its 48,000 staff are based.

Representatives of European engineering unions plan to meet in Brussels on February 23 to discuss the next steps at Opel.

GM wants €2.7 billion in state aid from countries hosting plants — including Britain, Germany, Spain and Poland — to help finance the Opel and Vauxhall revamp.

Mr Reilly said: “We have no time to waste. We need a plan that is going to be realistic about the tremendous economic pressures we face.”

Source : The Times.

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