PSA to cut 240 jobs at Vauxhall factory

The PSA Group has announced another round of job cuts, this time at Vauxhall's Ellesmere Port facility in northwest England.

As reported by industry journal Automotive News Europe, it's the third round of cuts for the former GM-owned British brand, after it announced 400 axings at the site in October last year, and a further 250 in January – at the time of the first announcement, there were around 1900 people employed at the Ellesmere factory.

Vauxhall and its German equivalent, Opel, have seen shrinking sales of late, with the British division posting an 11 per cent sales decline in the UK so far this year, which is above the overall 7 per cent reduction in that market.

Currently, the brand manufactures the Astra Sports Tourer wagon at the Ellesmere Port plant – which is also exported to Australia badged as a Holden.

"The restructuring is necessary to make it a competitive plant when compared to the benchmark," Vauxhall said in a statement.

However, the company said the job losses are not related to Britain's imminent departure from the European Union.

PSA's CEO, Carlos Tavares, said earlier this year the company will make a decision in 2020 regarding the Ellesmere factory's future, which has alarmed Britain's trade unions.

Unite, the biggest trade union in Britain, said it's seeking 'urgent assurances' from Vauxhall's French parent over the future of the site.

"[We] will not tolerate the death by a thousand cuts of Ellesmere Port and will leave no stone unturned in securing the future of the plant and its skilled workforce," said Mick Chalmers, Unite's regional coordinating officer.

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