GM boss: Vauxhall will be a winner

THE European president of Vauxhall parent General Motors (GM) says the firm’s 2,000 staff in Ellesmere Port can help the company become a winner once again.

GM has been battered by the recession as car sales have slumped.

Its European arm, including Vauxhall and German brand Opel, was set to be sold off to Canadian car parts firm Magna last year until GM had a last-minute change of heart.

Nick Reilly, a former manager at the Vauxhall plant in Ellesmere Port, took charge of GM Europe last year.

In a personal message to staff he said the company needed to cut more costs to cope with the global slump in car sales – but said it was well-placed to build on its heritage and start growing once again.

He said the firm needed to move quickly to cope with a "very difficult market" in 2010 in which Western European car sales would be 1.5m down on 2009.

GM Europe is continuing to restructure its manufacturing operations and is set to cut 9,000 jobs, though Ellesmere Port looks set to escape job cuts.

Mr Reilly said he would work closely with trade unions during the restructuring process.

He said: "It is time for Opel/Vauxhall to be clear winners again and to be recognised as clear winners.

"By taking the right decision, we will reverse the downward trend in market share, we will return to profitability, we will have a brand that people want to buy and be associated with and we will lay the foundations of sustainable success.

"I believe we already have many of the elements in place to be a winner. We have proven our technical capabilities through our latest products, we have a strong dealer network, we have the skills of our people, we have a great heritage and we have the goodwill of many outside the company who want to see us succeed.

"We will lead through our products. We will lower our cost levels so that we can be profitable in a weaker market."and we will use that profit to reinvest in new products, new technology and new facilities."

Mr Reilly also stressed the importance of GM Europe’s links to its Detroit-based parent, which he said had "kept the company alive" with its financial support.