UK unions worry as GM goes to Magna
By politics.co.uk staff
General Motors has chosen Canadian firm Magna to buy Opal and sister company Vauxhall, the Germans have confirmed.
The move means British unions are nervous about being at the front of potential job losses.
Chancellor Angela Merkel said conditions had been attached to the sale.
The move came after earlier rumours that GM would try and maintain control of its European arm.
Magna, the preferred German option, has pledged to keep all German factories open. The move marks a victorious moment for the chancellor, who is facing elections.
British unions will be less pleased, however. The preferred British option – that GM keep control of Vauxhall, would have secured British jobs.
Business mnister Pat McFadden said: “We will now continue our discussions with Magna: they have told us of their commitment to continuing production at both Ellesmere Port and Luton and we will work to make sure we get the best possible outcome for the UK.”
The Vauxhall brand employs 5,500 people in the UK, mostly in Luton and Ellesmere Port.
