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Luton workers remain with GM
Car workers welcome news they'll stay with GM, but know redundancies cant' be ruled out.
It's after General Motors announced it is now not selling its European arm which includes the Vauxhall plants in Luton and Ellesmere Port, and Opel on the Continent.
In a statement the car giant said it had taken the decision because of an "improving business environment for GM over the past few months
The Business Secretary, wants urgent talks with GM following the announcement from America last night that the deal with Candian car-parts manufacturer Magna to take over Vauxhall and Opel was off.
Lord Mandelson says: "I am keen for very early discussions with GM over their plans for the business and how they will affect British plants and workers. I have always said that if the right long term sustainable solution is identified, then the Government would be willing to support this".
The Unite Union say it cautiously welcomed the move, but Luton plant representative Andy Fornham told HEART "we're cautiously optimistic - workers feel they'd rather be part of a stronger GM, but we're under no illusion they're won't be more job losses in future - but we're very hopeful they'll be less than under Magna".
Magna had worked out a deal with the unions which safe-guarded jobs in return for a pay freeze; job security will now be top of the agenda for new talks.
Kelvin Hopkins the MP for Luton North has been telling us: "I'm optimistic, I think it sounds like very good news indeed, I was listening to Tony Woodley, the General Secretary of the Unite the Union on the radio and he was really very very optimistic indeed."
Fritz Henderson, the president and CEO of GM has issued a statement saying "We understand the complexity and length of this issue has been draining for all involved. However, from the outset, our goal has been to secure the best long term solution for our customers, employees, suppliers and dealers, which is reflected in the decision reached today. This was deemed to be the most stable and least costly approach for securing Vauxhall/Opel's long-term future."
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