GM's Vauxhall decision is a relief to UK
Source: Agencies |
May 18, 2012, Friday
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Print Edition
Print Edition
GENERAL Motors' Vauxhall plant in northern England will build the company's top-selling Astra vehicles, the automaker said yesterday - a relief for UK politicians who had lobbied its American owner to keep the plant open.
The announcement comes after workers at the Ellesmere Port plant, near Liverpool, overwhelmingly backed a job deal which turned the factory into a 24-hour-a-day operation, a key cost-cutting step pursued by parent company GM Europe.
GM Europe lost US$700 million in 2011 and has been struggling to turn around its Opel and Vauxhall brands. It had been feared the company would close the Ellesmere Port facility in favor of consolidating output elsewhere - such as its headquarters in Ruesselsheim in Germany or Gliwice in Poland.
Opel said the Ruesselsheim plant would switch to making other models.
The announcement comes after workers at the Ellesmere Port plant, near Liverpool, overwhelmingly backed a job deal which turned the factory into a 24-hour-a-day operation, a key cost-cutting step pursued by parent company GM Europe.
GM Europe lost US$700 million in 2011 and has been struggling to turn around its Opel and Vauxhall brands. It had been feared the company would close the Ellesmere Port facility in favor of consolidating output elsewhere - such as its headquarters in Ruesselsheim in Germany or Gliwice in Poland.
Opel said the Ruesselsheim plant would switch to making other models.
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