Vauxhall lays off workers

THE Vauxhall plant is cutting production and laying workers off for two days this month and in July due to worsening economic conditions.

Staff at the Ellesmere Port site, where the top-selling Astra is made, were told on Monday that 3,000 cars will be cut from their annual production targets.

According to John Fetherstone, of the plant’s Unite union, there had been no warnings about possible production cuts prior to the announcement. However, he said they were not surprised, given the current economic climate.

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 next month.

A Vauxhall spokeswoman said the decision was based on “cost issues” and staff were told the decision had been taken because of the economic downturn and rate of the pound against the euro.

The company cut 900 jobs at Ellesmere Port in May 2006 when they ended the third shift at the car factory.

Mr Fetherstone said Vauxhall remained confident in the strength of Ellesmere Port, which is due to move to three shifts next year.

He added: “This is not a problem with the Ellesmere Port plant but with the European economy.

“It is still a healthy plant with good costs and productivity. This is definitely not a body blow.

“We are getting a third shift in 2009 for the new model Astra, probably later in the year.”