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19 March, 2000Many jobs could go following the decision by BMW to pull out of Rover.
GREAT BRITAIN: In a deal kept secret until the last minute, the Munich-based German automotive firm, Bayerische Motoren Werke AG (BMW), announced last week its plans to break up the Rover Group. The high value of the British pound was said to be the major factor in the decision by BMW to sell Rover.
Alchemy Partners, a private investment firm, is taking over Rover Cars, with its assembly plant in Longbridge, in the West Midlands. As many as 5,000 jobs could disappear at this plant alone, not to speak of the many thousands more in related industries in the region which would be affected, such as suppliers and service industries. The venture capital group is reportedly planning to make sharp cuts in Rover's present output in car production, which could mean a sharp reduction in the 9,000 workforce.
In a statement made by the general secretary of the Transport and General Workers' Union, Bill Morris, he said the union would be seeking "an urgent meeting with Alchemy to discuss their plans for the Longbridge plant." And Tony Woodley, also of the T&G, declared that they were not going to keel over and accept possibly tens of thousands of (direct and indirect) job losses that this could lead to.
Ford Motor Company has confirmed its purchase from BMW of Land Rover, which makes the four-wheel drive sports utility vehicle at its Solihull plant in the Midlands, with a workforce of 12,000. The company has so far not mentioned any cost-cutting measures.
The Manufacturing, Science and Finance Union has reported that, following BMW's decision to sell Rover, it called on the government to set up a regional manufacturing task force for the West Midlands. In addition, they underline the necessity for a huge retraining and reskilling programme in order to attract new companies to the region. The union also says that nationally the government should take urgent action to reduce the value of the pound against other European currencies.
Alchemy Partners, a private investment firm, is taking over Rover Cars, with its assembly plant in Longbridge, in the West Midlands. As many as 5,000 jobs could disappear at this plant alone, not to speak of the many thousands more in related industries in the region which would be affected, such as suppliers and service industries. The venture capital group is reportedly planning to make sharp cuts in Rover's present output in car production, which could mean a sharp reduction in the 9,000 workforce.
In a statement made by the general secretary of the Transport and General Workers' Union, Bill Morris, he said the union would be seeking "an urgent meeting with Alchemy to discuss their plans for the Longbridge plant." And Tony Woodley, also of the T&G, declared that they were not going to keel over and accept possibly tens of thousands of (direct and indirect) job losses that this could lead to.
Ford Motor Company has confirmed its purchase from BMW of Land Rover, which makes the four-wheel drive sports utility vehicle at its Solihull plant in the Midlands, with a workforce of 12,000. The company has so far not mentioned any cost-cutting measures.
The Manufacturing, Science and Finance Union has reported that, following BMW's decision to sell Rover, it called on the government to set up a regional manufacturing task force for the West Midlands. In addition, they underline the necessity for a huge retraining and reskilling programme in order to attract new companies to the region. The union also says that nationally the government should take urgent action to reduce the value of the pound against other European currencies.