PSA, British Union Plan More Meetings to Push Vauxhall Recovery

PSA Group and the U.K.’s Unite union have agreed to further meetings in an effort to revive the French carmaker’s recently acquired Vauxhall manufacturing operations.

Unite General Secretary Len McCluskey met PSA CEO Carlos Tavares earlier today in Paris to discuss how to “regain the competitiveness” of Vauxhall facilities in the U.K., according to the carmaker.

PSA says further meetings are planned to quickly implement a plan that would return Vauxhall “the highest level of performance, after years of degradation.” McCluskey says he is determined to safeguard the brand’s British factories. But he warns the union is willing to “disrupt PSA’s U.K. market share” if the company “fails to support this loyal workforce.”

McCluskey also is calling for three-way meetings with PSA, Unite and British Business minister Greg Clark to “give our plants a future.”

Tavares reiterates that he would prefer to retain Vauxhall’s operations in Ellesmere Port and Luton—but only if they can match the productivity of PSA factories in France. PSA has said its British operations, which were acquired last August from General Motors Co., are twice as costly as PSA plants.​​​