General Motors to rule on Vauxhall future

MORE than 2,000 staff at Vaxhall’s Ellesmere Port factory are set to learn their fate today as parent company General Motors makes an announcement on the future of its European business.

General Motors (GM) is due to make an announcement in Berlin later, and is reportedly set to retain ownership of the  two businesses after months of speculation.

There have been rival bids from Belgian investment group RHJ and Canadian car
parts maker Magna.

Any GM decision would have to be approved by the German-led Opel Trust, which has  been in control since GM sought bankruptcy protection in the US.
Opel employs a total of 54,500 across Europe, with 25,000 based in Germany.

Vauxhall employs 5,500 people in the UK, at Ellesmere Port and Luton.
UK trade unions say that GM keeping control of Vauxhall would be the best news for British jobs.

Last month, GM failed to choose between Magna and RHJ’s initial bids, leading to speculation that the sale would not happen, for fear of technology and engineering resources ending up in a competitor’s hands.