Thousands of jobs have been saved at Jaguar Land Rover’s plants in the West Midlands, the company has announced while trade union Unite has said it had reached a new pay deal with the management.
The company had declared in September last year that one or other of the plants in Castle Bromwich and Solihull would close within 10 years.
JLR chief executive Dr Ralf Speth said the “landmark” pay deal meant retaining manufacturing at Solihull, Halewood on Merseyside, and Castle Bromwich.
About 2,000 are employed at Castle Bromwich while a further 5,000 work at the plant in Solihull.
Dr Speth said recruitment was already under way to fill 1,500 new posts at Halewood to support the launch of the new Range Rover Evoque.
The deal was a “triumph for all concerned” he said, adding that the pay and conditions deal “is truly the beginning of a new era for Jaguar Land Rover”.
Gerard Coyne, regional secretary of Unite, said: “It’s an excellent deal and we are very pleased that this now secures the future for Castle Bromwich, but also a commitment to a three-site solution for JLR in the UK, which is great news.”
He claimed the future of the Solihull plant had never been in doubt because of its larger size and the fact it was the “ancestral home” of Land Rover.
“Far from a pay cut, it’s a 5% pay increase for this year as part of a two-year deal with an RPI-plus agreement in the second year in terms of RPI plus half a percent or 3%, whichever is higher,” said Mr Coyne.
He added that for new starters there would be new rates but the deal “secured the investment we’ve been looking for and potentially 4,500 jobs which are new jobs across the group,” he added.
“The deal was secured very late yesterday evening, so it will be going through our shop stewards to the membership.
“I have to say that it’s our anticipation that there won’t be any difficulty with this as it is,” said Mr Coyne.