Jaguar deal creates thousands of new jobs
Jaguar Land Rover is to invest billions of pounds in its business, creating thousands of new jobs and safeguarding its UK factories, it has announced.
The new jobs will include 1,500 at the Halewood plant on Merseyside next year, while the other two manufacturing sites at Castle Bromwich and Solihull in the West Midlands will be retained, ending fears for their future.
The Unite union said a deal had been struck that included a two-year pay deal worth 5% this year and an above-inflation rise the year after.
Sales have picked up in line with a general improvement in the motor industry.
Jaguar Land Rover chief executive Ralf Speth said: "Our parent company Tata supported us through the recession and our employees also made sacrifices.
"But now we are seeing a great turnaround in the business and everyone involved - our employees, our customers and our Tata shareholders - will benefit from this agreement."
He added: "This is truly the beginning of a new era for Jaguar Land Rover."
New staff in the manufacturing plants will start on lower rates of pay and receive lower shift premiums, increasing flexibility, he added.
Len McCluskey, assistant general secretary of Unite, said he hoped up to 4,000 new jobs will be created.
"It is a tribute to our shop stewards and members who made sacrifices last year in difficult circumstances," he added.
"The future of the three plants has been secured until at least 2020, which is fabulous news, as there had been fears that one of them would close."
Birmingham Northfield Labour MP Richard Burden has welcomed the annoucement.
Mr Burden, who chairs the all-party Motor Group in Parliament, said: "JLR is one of the central foundations of the motor industry in the West Midlands.
"The company plays a key role in maintaining the skill base right across the Midlands, not only in JLR plants, but also in the wider supply and component industries.
"With both plants secure, investment and new jobs over the next decade and the potential of exciting new models, this is good news for manufacturing and good news for the West Midlands.
"I also appeal to the Government, as they make their decisions in the weeks and months ahead, to think about the impact their actions will have on manufacturing and to remember its importance to the West Midlands and the economy as a whole."
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