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Opel’s Belgian bidder aims to axe jobs at Luton plant
17 Jul 2009Unions today called for greater transparency from bidders for Vauxhall and Opel, after a leaked document revealed that Belgian investment group RHJ International plans to “downsize” Vauxhall's Luton plant, potentially costing hundreds of jobs.
RHJ is in a bidding battle with Canadian parts maker Magna International over the European arm of the old General Motors. The sale has become a major political issue as national leaders seek to save jobs in their countries and influence which bidder will be successful.
A Unite spokeswoman said: “We need transparency in this process so that we know what any bidder or investor means for British jobs.”
The issue is of crucial public importance because big state loans are expected to be offered to the winner in order to keep the businesses alive.
The Reuters news agency said RHJ's bid document declares that Luton will be “downsized” in the event that Renault removes production of its Trafic vans from the plant.
Analysts say the French carmaker may well decide that it no longer wants the new rival to make its vehicles there.
Observers believe RHJ may shed as many as 500 jobs at Luton.
Reader views (1)
There appear to be considerably more Opel workers than Vauxhall workers. My last five cars have all been Vauxhalls and only one was assembled in Luton - the others were rebadged Opels. I suspect that in five years vauxhall will have joined the likes of Jowett, Riley and Wolsey!
- Man U Fan, London, 17/07/2009 17:27
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