Doubts over future of Vauxhall dealership

0
3108

NEARLY one in three Vauxhall dealerships are facing potential closure in a cost-saving shake-up.

According to a report, up to 3,800 jobs are at risk at 100 of the car maker’s 324 franchise-run outlets, one of which is in Birmingham Road in Stratford, but it is not yet known which sites will be affected.

The move is part of plans by Vauxhall’s new French owner PSA to cut outgoings by £1billion.

Tim Rose, of Automotive Management, which produced the report, said: “Vauxhall dealers have told us they will be forced to make sales, workshop and administrative staff redundant as part of this cull by the car maker.”

The huge savings are to be made by 2020, said the report.

But Vauxhall, which is also cutting jobs at UK plants, insisted nothing had yet been decided.

It said: “The go-to-market strategy is being carefully reviewed and that is including the contractual framework with dealers.”

Contracts are renewed on a two-year rolling basis.

And one possibility is that dealerships across the brands could be combined.

In January, Vauxhall confirmed plans to axe another 250 workers at its plant at Ellesmere Port.

The move came just three months after the car maker announced 400 redundancies at the Cheshire factory, which produces the Astra.