The UK's largest union, Unite, will oppose car maker Ford's intention to sell its Jaguar and Land Rover marques, following talks with India's Tata Motors.
Ford confirmed that it is in discussion with Tata Motors as a possible suitor to buy Jaguar and Land Rover, which have factories at Solihull and Castle Bromwich in the Midlands and Halewood on Merseyside, and employ around 16,000 workers.
In November, Indian firm Mahindra was reported to have joined the bidding for the struggling brands.
Unite said plant and job security should be at the heart of discussions over the future of both companies, adding that it would not "support or accept" Ford's intention to sell or transfer them.
Tony Woodley, Unite joint general secretary, said: "We need further and more detailed meetings and discussions with Ford and Tata which will focus on the job security of our members in the Jaguar Land Rover and Ford plants in the UK.
"There are also crucial issues around wages, terms and conditions and pensions to address before any final decision is considered," he added.
"UK GOVT HAS ROLE TO PLAY IN SALE OF FORD'S UNITS"
With Ford looking to balance their troubled books, but not looking to exit the United Kingdom- or the 'outside USA' auto-markets..... the British govt ought to be looking at ways of- on a temporary basis- assisting Ford, while revitalizing & securing the British-brand auto industry.
A south Asian (Indian) sale to Tata is a recipe for disaster:
Tata has:
- zero car dealerships in any of the world's main and most vital auto markets such as: North America; the EU; Australia; China; South korea; Japan; etc;
- a non-existent 'saleable in the developed world' auto product-range; &
- is without research & development expertise & without sufficient cash flow or funding base to develop this.
Instead of an Indian sale, the United Kingdom govt & Ford, working with east Asian interests such as China/South Korea would be the most productive way ahead for all parties...
Setting up a new, UK majority-owned auto/transportation-technology company (with Ford UK retaining a minority interest)... encompassing Land rover & Jaguar, & with the 'new' company afforded long-term licensing-for-manufacture agreements with Ford- for several of its models/engines- would make constructive business sense.
Doing this with the significant participation of 1 or 2 of the up-and-coming, effervescent east Asian auto firm(s) such as a KIA or a Suzuki, would give the new firm both international reach & product-range scope.
Possibly most importantly, bringing in the govt of China/its passionately ambitious but inexperienced auto firms as major shareholder(s)- & part-funder- would make the project viable & productive in both a business & a multi-lateral, foreign-policy/trade-relationship way.
It would also facilitate Ford's 'laudatory' entry into the world's most lucrative & fastest growing car market: China.
The formation of a 'new' multi-national 'part public'/'part private' auto firm, encompassing Land Rover, Jaguar & several brands under license from Ford, with UK govt & east Asian participation- could be beneficial for all parties...
Roderick V. Louis,
ceo@patientempowermentsociety.com
XpertHR - Online HR Intelligence