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Luton debacle hits partnership agreements hard

The management at Vauxhall Motors in Luton has said the decision to stop manufacturing passenger cars threatening 2,000 jobs is necessary to remain competitive and allow us to optimise the utilisation of our assets. That one sentence of corporate-speak translates as a complete breakdown in partnership agreements between unions and employers. Why would any union member believe in partnerships from now on when they see how easily they can be by-passed? Steve Smethurst investigates

Bruce Warman, personnel director, Vauxhall


Hopefully, the situation is not a bad as we first feared. Our intention is to find a job for all those who want one, letting others retire early if they want to. Its still early but this seems to be achievable. Theres no doubt that the decision to end car manufacture [van manufacturing remains] has been a severe blow to the people at Vauxhall. It has really damaged the good relationship wed worked hard to build up. But a solid relationship can survive knocks. Once weve got through this difficult period, we can go about rebuilding what we had. It will take time and dedication by the people concerned and there will be a lot of hurdles for us to get through. But in the end, what else can we do are there any other serious options to partnerships worth considering? If we fight among ourselves, the only winners will be companies in other countries.


John Monks, general secretary, TUC


The partnership work at Vauxhall has taken a battering, and I can well understand the views on both sides of the fence. Its like any partnership, when one side breaks its word, it will do well to survive. Guarantees were given about the future of the Vectra by General Motors in Detroit and it has behaved appallingly. It has completely jettisoned the relationship built up by Bruce Warman and union officials in Luton which was one of the best in the car industry. No one at GM gave a damn about it. Weve always known that partnerships can be fragile, especially with boards whose sole focus is shareholder value. But what is the alternative to partnerships? Without the mutual respect and common endeavour that existed at Luton, GM would have shut it years ago. Just because it went wrong at Luton, you cant say all the others will go the same way.


Chris McEvoy, secretary, T&G shop-stewards committee, Vauxhall


Its a very valid question where does it leave partnership agreements? The answer is in tatters. There are people in Ellesmere Port negotiating with General Motors, and theyre wondering why they should bother. Weve been encouraged into partnerships for years by the TUC, the Government theyve all been singing its praises. But when push comes to shove, the negotiating body is ignored and were presented with a fait accompli. Its been made worse because weve made some agreements that have stuck in the throats of employees. Its given us 12 years of profits, but at the first sight of a blip in those profits, they shut the plant down. Its time to draw a line in the sand. If employers are going to resort to old-style management, we may have to hit their product lines and pockets. Its not the way wed want to go forward, but it has worked in the past against capitalist giants like GM.