20th Oct, 2017

Peugeot to cut 90 jobs in Coventry

Coventry Editorial 18th Nov, 2014 Updated: 28th Oct, 2016

The French car manufacturer Peugeot is looking to cut 90 jobs from its UK headquarters in Coventry.

Unions say compulsory redundancies are likely, despite the company inviting staff to apply for voluntary redundancy.

About a fifth of staff at the HQ in Pinley House, Sunbeam Way, Stoke, would be affected.

The company says staff at its parts and logistics base in Torrington Avenue, Tile Hill, are unaffected.

A 45-day consultation with staff and unions has begun into the changes which are part of European wide restructuring.

Experts say the European car market is experiencing a downturn, although the global market is buoyant due to exports to China and the far east.

Gerard Coyne, of the union Unite, said: “Initially the company is seeking voluntary redundancies but the reality is with this size of reductions is that it’s hard to see it will be achieved purely by volunteers.

“It’s close to Christmas and all 750 workers think they could be in the frame.”

A spokesman for PSA Peugeot Citroën UK clarified that only staff at the HQ would be affected.

Peugeot Citroën in 2006 announced the closure of its Ryton plant and the end of production locally of the 206 model, with 2000 jobs affected.

In 2012, when Coventry became the UK headquarters, the company secured a €7billion rescue package from the French government after falling sales.

Meanwhile, workers at Jaguar Land Rover have voted to reject a pay package which it is claimed included a 3.6 per cent pay rise in the first year plus bonuses.

Unions say it includes an attack on their pensions.

Unite claims it “failed to recognise the workforce’s contribution to last year’s profits of £2.5billion.”

The company claims the offer would protect pensions, “balance reward with responsibility”, and would amount to a 7.7 per cent pay rise in the first year alone.

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