The votes are in, and about 70% of the workers elected to shorten their work week and freeze their pay to keep their jobs. Is this an idea whose time has come?
The votes are in, and about 70% of the workers elected to shorten their work week and freeze their pay to keep their jobs. Is this an idea whose time has come?
New vehicle registrations fell nearly 22% last month (compared with Feb. ’08) in the UK, raising the specter of massive job losses and perhaps the collapse of the UK auto industry as a whole. While auto dealers and manufacturers are crying to the government for help, auto workers are trying to salvage their jobs by most any means necessary. At Jaguar Land Rover (JLR) they voted overwhelmingly to a pay freeze and a shorter work week which will save the company a reported £68 million.
Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, said: "New car registrations continue to decline and although government recognizes the strategic importance of the UK motor industry, urgent action is still needed. Other European countries have been proactive in assisting their automotive industries and it is imperative that the UK government increases the pace in responding to industry proposals for a scrappage scheme and access to finance and credit."
The scrappage idea - paying consumers to get rid of their old cars - is really taking off in Germany, giving new car sales a much needed boost there. That is certainly another avenue the UK government should explore, but as far as government bailout money, Mr. Everitt should quit whining. It looks like JLR will receive about half of the £2.5 billion they are making available to save their motoring heritage. Yesterday's figures showed British sales of Land Rovers fell 21% last month – broadly in line with the UK market – but Jaguar sales more than doubled, boosted by the Jaguar XF. So all is not doom and gloom in the UK after all. Except maybe the weather.
Sign up and receive once every 2 weeks
Select Your Vehicle
