Plans to build Astra and Vectra models at Ellesmere Port will not be derailed by General Motors' cost-cutting plans claims union. But doubts have been raised within GM about the factory's long-term future.
The AEEU union says that agreements relating to Vauxhall's Cheshire plant are legally binding, although GM's Project Olympia restructuring plan may include plant closures. Project Olympia, whose conclusions are expected to be revealed shortly, is designed to return GM's European operations to profit. Closing Luton next year is expected to cost Vauxhall £200m. (August 14, 2001)