Jun 3 2008 by Liam Murphy, Liverpool Daily Post
Vauxhall cuts back on new Astras
VAUXHALL’S Ellesmere Port plant is cutting production and laying workers off for two days this month and next, due to worsening economic conditions.
Staff at the company’s Ellesmere Port plant – which makes the top- selling Astra model – were told yesterday that 3,000 cars will be cut from their annual production targets.
John Fetherstone, of the Unite union based at the Ellesmere Port plant, said there had been no warnings about possible production cuts prior to the announcement.
But he said they were not surprised given the current economic climate, and expected to find out more later today when they are due to be briefed by Vauxhall management.
Yesterday, Vauxhall confirmed that 15,000 cars will be cut from total European production targets, mainly affecting the Astra, Corsa and Zafira models.
The company also said Ellesmere Port workers will be laid off on full pay for two days this month and two days in July. A spokeswoman for Vaux- hall said the decision was based on “cost issues”, and staff at the plant were told the decision had been taken because of the economic downturn and the rate of the pound against the euro.
The company cut 900 jobs at the Ellesmere Port site in May, 2006, when they ended the third shift at the car factory.
Mr Fetherstone, currently at a manufacturing meeting in Germany, said he had been called yesterday by union officials at Ellesmere Port saying the announcement of cuts in production targets amounted to 15,000 across the company’s European sites.
He said they did not know how much it would affect the European plants yet, but remained confident in the strength of Ellesmere Port, which is due to move to three shifts next year.
Mr Fetherstone said: “This is not a problem with Ellesmere Port but with the European economy. We were due to work three Saturday mornings and we have worked seven this year, although the last three have been cancelled.
“But Ellesmere Port is still a healthy plant, with good costs and productivity and this is definitely not a body blow.
“We’re getting a third shift next year for the new model Astra, probably later in the year.”
About 2,200 staff work at Ellesmere Port and production of the new Astra starts in 2010.