Unite, the UK’s leading union, is demanding that Simon Peckham,
chief executive of Melrose PLC, urgently corrects his evidence to
parliament following a select committee hearing today (Tuesday 23
February).
During the evidence session to the Business Energy and Industrial
Strategy (BEIS) select committee, Mr Peckham spoke about the
announcement last month to close the GKN factory in Erdington,
Birmingham, with the loss of over 500 skilled jobs.
Mr Peckham told the committee one of the reasons why Melrose had
decided to close the Birmingham factory was because it was only
an “assembly plant”.
The GKN factory in Birmingham in fact currently undertakes
manufacturing work and has the capacity to increase this part of
its operation.
Mr Peckham further told the BEIS committee that all the
manufacturing work for the Erdington factory was undertaken at a
separate factory in Bisenzio, Italy and as that factory “had
spare capacity” the decision was taken to close Birmingham. He
gave the MPs present the clear impression the work from
Birmingham would be transferred to Italy.
However Unite representatives and officers, who have begun formal
consultations with the company, have been informed that the work
currently undertaken at the Erdington factory will be transferred
to different European locations.
Unite national officer for automotive Des Quinn said: “Simon
Peckham is guilty of misleading MPs and must apologise and
correct his evidence immediately.
“The GKN Erdington factory has a world class manufacturing
capability, currently undertakes manufacturing and should be
given the opportunity to increase its manufacturing capacity in
the future.
“Mr Peckham clearly indicated to the select committee that the
work in Erdington will be transferred to Italy and yet GKN are
indicating differently.
“Either MPs have been misinformed or the workforce has been
misled. Melrose must swiftly correct the record.
“With the level of misinformation that has been given to the
select committee, there must now be major question marks about
the integrity of Melrose’s commitments to a “UK manufacturing
powerhouse”.
“Unite remains committed to working with Melrose and all
interested parties to ensure the decision to close the GKN
factory in Birmingham is reversed and the jobs of the highly
skilled and dedicated workforce are protected.”
The factory produces drivelines, primarily for the UK car
market.
ENDS
Notes to
editors:
Since 2018 GKN has been
owned by venture capitalists
Melrose.
The link
to the film of the BEIS evidence session (Mr Peckham’s key
evidence begins around
11:50.
Unite vows
to overturn GKN’s Birmingham factory closure plans and accuses
Melrose of lying about its
intentions
