Friday, 10 February 2017
Stop Age Discrimination
Why does to BBC have an agenda of promoting the lie that NHS are suffering because of "the ageing population" ? You must know that this is only one amongst a number of significant factors. Persisting in promoting this lie is discriminatory and vilifies older members of the population.
Under investment. Immigration Advances in treatable conditions. Drunken behaviour Closure of small local hospitals. Closure of mental illness treatment centres.
The list could go on. I intend to start a group to fight this discrimination and victimisation, currently being supported or promoted by BBC.
Vincent Hammersley
Monday, 25 January 2010
Stop Subsidising Those who are Damaging Our Roads,
When our utility companies were owned by us, they dug up the roads, made a hash of reinstating them and the cost of repairing them fell on the local authority. This was OK because we were bailing out organisations which we owned.
It is very different today. The local authorities are responsible for repairing the roads after they have been damaged by the shoddy repairs of the privately,and often foreign owned utility companies.
The ulility companies make the profits and we subsidise those profits by stumping up to repair the damage they cause. They have no incentive to do robust repairs after they have excavated and caused delays.
I propose that any utility company requiring to dig up our roads must be made responsible for any repairs required in that section of road surface for the following ten years.
It is very different today. The local authorities are responsible for repairing the roads after they have been damaged by the shoddy repairs of the privately,and often foreign owned utility companies.
The ulility companies make the profits and we subsidise those profits by stumping up to repair the damage they cause. They have no incentive to do robust repairs after they have excavated and caused delays.
I propose that any utility company requiring to dig up our roads must be made responsible for any repairs required in that section of road surface for the following ten years.
Friday, 15 January 2010
Industry Burns, Mandy fiddles.
The news that 900 jobs are to go at the car parts maker Bosch in Wales arrives at the same time that Dame Peter Mandelson, our oxymoronic Business Secretary, has said some stern words regarding business taking a long term view to their UK operations.
Don't you get it yet Peter? Remember the old rhyme 'Sticks and stones may break my bones but words will never hurt me.' I am sure that you will always be able to point to what you have either said or not said in your defence but what have you done but fiddle whilst our manufacturing industry dies?
Don't you get it yet Peter? Remember the old rhyme 'Sticks and stones may break my bones but words will never hurt me.' I am sure that you will always be able to point to what you have either said or not said in your defence but what have you done but fiddle whilst our manufacturing industry dies?
Labels:
Automotive,
Employment,
mandelson,
Midlands,
motor industry,
Politics
Tuesday, 5 January 2010
Monday, 9 November 2009
Hands off, Mandy
As higher education is now one of the largest employers and earners of foreign currency in the UK I am not surprised that Dame Peter Mandelson is trying to get his claws into it.He has promised to consult "all who would be affected by any changes in student funding". I think we all know what the outcome will be - but I await his phone call. I wont hold my breath though.
Tuesday, 3 November 2009
Chinese Take Aways
So, Dame Peter Mandelson has now set his sights on our Universities. He says that the output should reflect the needs of its customers (the students) and business requirements. If our universities were not providing excellent, world class education I do not understand why demand for places from overseas students constantly outstrips supply. UK business schools consistently punch above their weight in the global marketplace. Oxford, Cambridge and UCL have set the benchmark for excellence for centuries and institutions such as Warwick have come from building site to seriously compete with the best in the world in less than fifty years.
Mandelsons interest in our manufacturing sector has resulted in it being 'lifted and shifted' to China. Is this what he wants for our higher education sector?
Mandelsons interest in our manufacturing sector has resulted in it being 'lifted and shifted' to China. Is this what he wants for our higher education sector?
Monday, 14 September 2009
The cheek of him.
So, Lord Mandelson says that the behaviour of the Phoenix directors should result in them being banned from being directors in the future. This from the man who has been rewarded for being removed from ministerial office twice with a seat in the House of Lords.
Friday, 4 September 2009
Who benefitted from the Scrappage scheme
Here are the statistics of new car sales in August - are any made near you? How many UK jobs were created?
Ford Focus 4,366
Ford Fiesta 2,968
Hyundai i10 2,431
Vauxhall Corsa 2,031
Volkswagen Golf 1,832
Peugeot 207 1,558
BMW 3 Series 1,482
Vauxhall Astra 1,355
Vauxhall Insignia 1,334
Toyota Yaris 1,331
Ford Focus 4,366
Ford Fiesta 2,968
Hyundai i10 2,431
Vauxhall Corsa 2,031
Volkswagen Golf 1,832
Peugeot 207 1,558
BMW 3 Series 1,482
Vauxhall Astra 1,355
Vauxhall Insignia 1,334
Toyota Yaris 1,331
Thursday, 13 August 2009
Dark deeds behind MG Rover demise.
The smoke screen which has been created by the recent costly and long winded investigation into the actions of the Phoenix Group has acted to obscure some Machiavellian practices in Downing Street which may prove the real reason why this issue is continually being kicked into the long grass.
Shortly after BMW announced that they were pulling out (is it just me or does anyone else think that BMWs keep pulling out on them), Prime Minister Tony Blaire made some rather comforting noises about his preparedness to provide financial support for the company.
His reasons for doing this may have been due to the fact that it had been said for many years that the government could not shut down a plant such as Longbridge without suffering severe repercussions. The only problem was that Gordon Brown in some secretive deal had gained exclusive control over the Exchequer until Blair abdicated in his favour.
Brown saw his chance to damage Blair and hasten his own entry into Number 10 and vetoed any financial aid for the company. His actions failed and did not bring Blair down, it took a war to do that, but this does show that the man was quite prepared to sacrifice tens of thousands of jobs both at Rover and all those who depended on that company, just to further his own ambitions.
Shortly after BMW announced that they were pulling out (is it just me or does anyone else think that BMWs keep pulling out on them), Prime Minister Tony Blaire made some rather comforting noises about his preparedness to provide financial support for the company.
His reasons for doing this may have been due to the fact that it had been said for many years that the government could not shut down a plant such as Longbridge without suffering severe repercussions. The only problem was that Gordon Brown in some secretive deal had gained exclusive control over the Exchequer until Blair abdicated in his favour.
Brown saw his chance to damage Blair and hasten his own entry into Number 10 and vetoed any financial aid for the company. His actions failed and did not bring Blair down, it took a war to do that, but this does show that the man was quite prepared to sacrifice tens of thousands of jobs both at Rover and all those who depended on that company, just to further his own ambitions.
Tuesday, 11 August 2009
MG Rover
So, after £15 million of taxpayers money and five years of 'investigations' it seems that the MG Rover bosses have no case to answer. Everyone gets rich on Rover - except the workers. Lets hope that the full storey comes out now that John Towers and associates are free to speak at last.
Tuesday, 28 July 2009
The Story of the Death of Rover.
Part 3 The English Were Patient.
After the fuss and media fun and games of the BMW ‘takeover’ there followed an anticlimax akin the ‘phoney war’, that period of apprehension followed by not much happening after news of the war was famously announced by Chamberlain on BBC radio: 'I have to tell you now,' he said, 'this country is at war with Germany.' At the time in 1939 people were expecting German troops to begin parachuting into towns and villages some dressed as nuns according to Dads Army. (I don’t recall the Rover board showing any of these episodes to the BMW board though).
We waited and waited but – no Germans and then there was the Road show. All Rover group employees took it in turns to be shipped out to the various Social Clubs with suitable sized halls which existed around the company. At Longbridge, there was a large assembly hall on site where all were gathered too see a car launch style presentation with dry ice, flashing lights and presentations which explained the plan. This was summed up by the road show theme tune, Two Hearts, One Mind by Phil Collins. The two companies were to operate as separate organisations, that was the two hearts bit. But what about the ‘one mind’? That question remained unanswered. Amongst the shop floor, suspicion began to grow that BMW, like so many other aspiring owners were only interested in a few gems such as 4 by 4 technology and getting their hands on some of the iconic brands owned by Rover such as Mini, Triumph, Riley, MG etc. Amongst management there was incredulity that a company like BMW would not take the sane business decision to take the economies of scale that would accrue when the two businesses were merged. Just like in Dads Army, the Germans still did not come.
During this Time John Towers remained as head of Rover but it was widely understood that BMW thought that he was too close a supporter of Honda and Japanese manufacturing techniques and BMW were not very impressed with these. Then someone made the decision to allow a documentary team exclusive and intrusive access to the company to make ‘When Rover Met BMW’. This was seen as a daft decision by many, even in the department which dealt with the press and media. It achieved very little for the two organisations but as they were completing their filming and had most of the series edited, John Towers announced his departure. This caused pandemonium amongst the film crew and they hastily shot some additional footage and included a scene where Wolfgang Reitzler , then BMW number two to Berndt Pischetsreider, made an announcement of which John Towers was completely in the dark. The implication of the documentary was that they had expected this to be the outcome all along. The documentary did show however that Dr Reitzler appeared to be a very ambitious person – to say the least.
I can understand why so many in the company felt that John Towers should be the man to lead the team to run Rover after BMW pulled out. He was at the top of the organisation before BMW came along, when Rover was making profits and their products were overcoming their reputation for poor quality and old fashioned design. He was head of the company for the first few years after BMW took over and it was only after he had gone that things seemed to take a turn for the worse. That was when the Germans finally did arrive.
What then followed was a great British car and a huge squabble between two senior BMW executives which nearlt did for both campanies.
After the fuss and media fun and games of the BMW ‘takeover’ there followed an anticlimax akin the ‘phoney war’, that period of apprehension followed by not much happening after news of the war was famously announced by Chamberlain on BBC radio: 'I have to tell you now,' he said, 'this country is at war with Germany.' At the time in 1939 people were expecting German troops to begin parachuting into towns and villages some dressed as nuns according to Dads Army. (I don’t recall the Rover board showing any of these episodes to the BMW board though).
We waited and waited but – no Germans and then there was the Road show. All Rover group employees took it in turns to be shipped out to the various Social Clubs with suitable sized halls which existed around the company. At Longbridge, there was a large assembly hall on site where all were gathered too see a car launch style presentation with dry ice, flashing lights and presentations which explained the plan. This was summed up by the road show theme tune, Two Hearts, One Mind by Phil Collins. The two companies were to operate as separate organisations, that was the two hearts bit. But what about the ‘one mind’? That question remained unanswered. Amongst the shop floor, suspicion began to grow that BMW, like so many other aspiring owners were only interested in a few gems such as 4 by 4 technology and getting their hands on some of the iconic brands owned by Rover such as Mini, Triumph, Riley, MG etc. Amongst management there was incredulity that a company like BMW would not take the sane business decision to take the economies of scale that would accrue when the two businesses were merged. Just like in Dads Army, the Germans still did not come.
During this Time John Towers remained as head of Rover but it was widely understood that BMW thought that he was too close a supporter of Honda and Japanese manufacturing techniques and BMW were not very impressed with these. Then someone made the decision to allow a documentary team exclusive and intrusive access to the company to make ‘When Rover Met BMW’. This was seen as a daft decision by many, even in the department which dealt with the press and media. It achieved very little for the two organisations but as they were completing their filming and had most of the series edited, John Towers announced his departure. This caused pandemonium amongst the film crew and they hastily shot some additional footage and included a scene where Wolfgang Reitzler , then BMW number two to Berndt Pischetsreider, made an announcement of which John Towers was completely in the dark. The implication of the documentary was that they had expected this to be the outcome all along. The documentary did show however that Dr Reitzler appeared to be a very ambitious person – to say the least.
I can understand why so many in the company felt that John Towers should be the man to lead the team to run Rover after BMW pulled out. He was at the top of the organisation before BMW came along, when Rover was making profits and their products were overcoming their reputation for poor quality and old fashioned design. He was head of the company for the first few years after BMW took over and it was only after he had gone that things seemed to take a turn for the worse. That was when the Germans finally did arrive.
What then followed was a great British car and a huge squabble between two senior BMW executives which nearlt did for both campanies.
Labels:
BMW,
david bailey,
Honda,
John towers,
longbridge,
motor industry,
Rover
Wednesday, 22 July 2009
Two Hearts, One Loser. Don't mention the war.
The story of the death of Rover.
Part 2. Don’t mention the war.
After BMW has taken the chance to inspect the books and view the new products under development, particularly the new style Range Rover and the Freelander, it was time for the new owners to take possession of their assets. Again, the workforce at Rover welcomed the opportunity to now be part of a successful motor company with a tradition of motoring excellence and a passion for ‘drivers cars’, the boss of BMW Berndt Pischetsrieder was a self proclaimed ‘petrol head’ and related to Sir Alec Isigonis developer of the famous Mini. Things were looking good for the future prospects of the company and there was a general good feeling throughout the plants at Longbridge, Cowley, Solihull and Swindon.
Everyone waited, it was quite a eyrie time, everyone was expecting changes, new initiatives, products, flags, badges and work wear; new letterheads, business cards, company livery and language lessons but as days turned into weeks nothing, the only noticeable event was that there were no longer any Japanese Honda technicians and a marked decline in those learning Japanese. People then started to fear the worst.
Because of my position, I was one of the few that had anything to do with personnel from BMW in the very early days. BMW workers and stakeholders also wanted to know about us so I hosted a number of teams from BMW communications department who were preparing articles for their various internal publications and annual report. They all seemed enthusiastic, committed and friendly, they were good to work with and very keen to find out about both our current status and particularly our long history because the Austin 7 formed the basis of the beginning of BMW.
Senior executives of both companies, it was assumed, were getting their heads around the task of welding these two great businesses into one larger and more successful company. The benefits were obvious; common parts sourcing, greater economies of scale, fewer head office functions and shared marketing and branding were some of the ways that would make the larger organisation more successful and competitive – everyone wins, except perhaps a few senior board members who’s positions would become superfluous when the two companies became one, Rover had, after all been taken over.
What was really taking place, though, beggars belief. Yes the two senior managements were meeting but the senior Rover team had convinced BMW executives that there was still a great deal of antipathy towards Germany in the UK, that they should not be seen as Jack-booting into Rover, a company much identified as part of the British heritage. They were shown episodes of ‘Allo ‘Allo and even the famous clip from Faulty Towers where John Cleese goose steps around the hotel and is advised by Connie ‘Don’t mention the war’. This was all embarrassing rubbish designed primarily to save the jobs of those making the presentation – but the Germans swallowed it.
The breathtaking self interest of the Rover senior executives was not wholly to blame however. It seems that there was a significant camp within BMW who were so worried about preserving the BMW badge that they also wanted to keep the two companies as separate entities, not to take advantages of the economies of scale, not to create one new larger, more competitive organisation and not to make BMW products in the Rover plants in the UK and vice versa.
These were the first of a series of, to say the least, extraordinary decisions by BMW but more were to come.
Part 2. Don’t mention the war.
After BMW has taken the chance to inspect the books and view the new products under development, particularly the new style Range Rover and the Freelander, it was time for the new owners to take possession of their assets. Again, the workforce at Rover welcomed the opportunity to now be part of a successful motor company with a tradition of motoring excellence and a passion for ‘drivers cars’, the boss of BMW Berndt Pischetsrieder was a self proclaimed ‘petrol head’ and related to Sir Alec Isigonis developer of the famous Mini. Things were looking good for the future prospects of the company and there was a general good feeling throughout the plants at Longbridge, Cowley, Solihull and Swindon.
Everyone waited, it was quite a eyrie time, everyone was expecting changes, new initiatives, products, flags, badges and work wear; new letterheads, business cards, company livery and language lessons but as days turned into weeks nothing, the only noticeable event was that there were no longer any Japanese Honda technicians and a marked decline in those learning Japanese. People then started to fear the worst.
Because of my position, I was one of the few that had anything to do with personnel from BMW in the very early days. BMW workers and stakeholders also wanted to know about us so I hosted a number of teams from BMW communications department who were preparing articles for their various internal publications and annual report. They all seemed enthusiastic, committed and friendly, they were good to work with and very keen to find out about both our current status and particularly our long history because the Austin 7 formed the basis of the beginning of BMW.
Senior executives of both companies, it was assumed, were getting their heads around the task of welding these two great businesses into one larger and more successful company. The benefits were obvious; common parts sourcing, greater economies of scale, fewer head office functions and shared marketing and branding were some of the ways that would make the larger organisation more successful and competitive – everyone wins, except perhaps a few senior board members who’s positions would become superfluous when the two companies became one, Rover had, after all been taken over.
What was really taking place, though, beggars belief. Yes the two senior managements were meeting but the senior Rover team had convinced BMW executives that there was still a great deal of antipathy towards Germany in the UK, that they should not be seen as Jack-booting into Rover, a company much identified as part of the British heritage. They were shown episodes of ‘Allo ‘Allo and even the famous clip from Faulty Towers where John Cleese goose steps around the hotel and is advised by Connie ‘Don’t mention the war’. This was all embarrassing rubbish designed primarily to save the jobs of those making the presentation – but the Germans swallowed it.
The breathtaking self interest of the Rover senior executives was not wholly to blame however. It seems that there was a significant camp within BMW who were so worried about preserving the BMW badge that they also wanted to keep the two companies as separate entities, not to take advantages of the economies of scale, not to create one new larger, more competitive organisation and not to make BMW products in the Rover plants in the UK and vice versa.
These were the first of a series of, to say the least, extraordinary decisions by BMW but more were to come.
Labels:
BMW,
david bailey,
Honda,
manufacturing,
motor industry,
Rover
Two Hearts, One Loser.
The story of the death of Rover.
Part 1. Honda betrayed.
Raking over the past may or may not have any relevance for the future but there are some aspects of the Rover story that have to be told. Everyone knows that Rover was once nationalised and was sold off to British Aerospace by the Thatcher government. It may not have been a great ‘fit’ but at least it conformed to the Thatcher dogma and removed the company from the government’s hands. The buzz amongst the workforce at the time was quite positive with many thinking that all this new aerospace technology could give Rover some competitive advantage with their new models – they were to be disappointed. Many of Rovers best managers were poached into BAe but no expertise flowed the other way.
Although many commentators like to characterise Rover by association with the bad old days of the sixties and seventies, by the time it was off-loaded to BAe it had been through significant changes. Its long association with Honda had brought new manufacturing techniques addressing quality issues and bringing new models and a new approach to working practices. Industrial relations had never been better and the company did not loose one day to industrial action in its last 25 years. Referring to it’s new owner, one very senior Rover executive after spending some time with BAe said, “It reminds me of British Leyland in the seventies”.
However, BAe having helped out Mrs T by taking the company off the government’s hands suddenly discovered that motor manufacture was not part of its core business and touted Rover for sale. Now, at that time Honda still had a 20% stake in the company, Rover also held a 20% stake in Honda UK and, naturally after many successful years of cooperation and collaboration Honda felt that they should be given some consideration and offered to increase their stake. At the same time BMW appeared on the scene. BMW were than seen a quite a small company and felt under threat from the giants of the industry, Mercedes being a nightmare threat for BMW as there was and still is no love lost between the two German companies. Buying Rover doubled the size and capacity of BMW over night. Honda management were furious and rightly felt that their long standing relationship with Rover had been ignored, they were also concerned because it exposed their technology and new products to a competitor. Serious and angry exchanges took place at board level between Rover and Honda.
It may seen strange to some that two, well respected names in the motor industry were squabbling over ownership of Rover but this was at a time when the automotive industry was in a period of significant growth and Rover made a £90 million profit during the year – it was no lame duck, a political football perhaps.
What happened next was quite extraordinary.
Part 1. Honda betrayed.
Raking over the past may or may not have any relevance for the future but there are some aspects of the Rover story that have to be told. Everyone knows that Rover was once nationalised and was sold off to British Aerospace by the Thatcher government. It may not have been a great ‘fit’ but at least it conformed to the Thatcher dogma and removed the company from the government’s hands. The buzz amongst the workforce at the time was quite positive with many thinking that all this new aerospace technology could give Rover some competitive advantage with their new models – they were to be disappointed. Many of Rovers best managers were poached into BAe but no expertise flowed the other way.
Although many commentators like to characterise Rover by association with the bad old days of the sixties and seventies, by the time it was off-loaded to BAe it had been through significant changes. Its long association with Honda had brought new manufacturing techniques addressing quality issues and bringing new models and a new approach to working practices. Industrial relations had never been better and the company did not loose one day to industrial action in its last 25 years. Referring to it’s new owner, one very senior Rover executive after spending some time with BAe said, “It reminds me of British Leyland in the seventies”.
However, BAe having helped out Mrs T by taking the company off the government’s hands suddenly discovered that motor manufacture was not part of its core business and touted Rover for sale. Now, at that time Honda still had a 20% stake in the company, Rover also held a 20% stake in Honda UK and, naturally after many successful years of cooperation and collaboration Honda felt that they should be given some consideration and offered to increase their stake. At the same time BMW appeared on the scene. BMW were than seen a quite a small company and felt under threat from the giants of the industry, Mercedes being a nightmare threat for BMW as there was and still is no love lost between the two German companies. Buying Rover doubled the size and capacity of BMW over night. Honda management were furious and rightly felt that their long standing relationship with Rover had been ignored, they were also concerned because it exposed their technology and new products to a competitor. Serious and angry exchanges took place at board level between Rover and Honda.
It may seen strange to some that two, well respected names in the motor industry were squabbling over ownership of Rover but this was at a time when the automotive industry was in a period of significant growth and Rover made a £90 million profit during the year – it was no lame duck, a political football perhaps.
What happened next was quite extraordinary.
Labels:
Automotive,
BMW,
Honda,
manufacturing,
motor industry,
Rover
Monday, 13 July 2009
McKinseys are not God
So, the CBI commissioned McKinseys to investigate the benefits of Nuclear powered and carbon captured coal versus renewables – and McKinseys came up with the fact that nuclear and coal were better for us! No doubt they took all the variables into consideration and their huge team of very expensive experts will have brought all their brain power to bear in a totally unbiased way.
Well, if this was the case I wonder if they could tell us all how much it costs to decommission a nuclear plant or are they assuming that the private generating company simply hands it back to us when they are finished making a profit from it. I would also like to know just how they factored in the costs of carbon capture coal power stations as I don’t think that such a thing exists yet.
These sods are at it again, putting shareholder value before everything else even our sustainable future. Don’t believe a word they say, they will do anything for a large fee.
Well, if this was the case I wonder if they could tell us all how much it costs to decommission a nuclear plant or are they assuming that the private generating company simply hands it back to us when they are finished making a profit from it. I would also like to know just how they factored in the costs of carbon capture coal power stations as I don’t think that such a thing exists yet.
These sods are at it again, putting shareholder value before everything else even our sustainable future. Don’t believe a word they say, they will do anything for a large fee.
Labels:
Mckinsey,
nuclear lies,
power,
renewable energy,
solar energy,
wind power
Monday, 6 July 2009
Longbridge Shame
My decision to leave Rover shortly after The Phoenix group took over Longbridge was based on my belief that the team had up to five years to find a partner or they would have to close. As this would put me in a position of being 55 years old and looking for a job I took the option which provided the best long term security for myself and my family and took the position I still hold at Warwick Business School.
I never doubted the commitment or the capability of John Towers and his team as I had worked with John since the eighties when I joined Land Rover. What I did doubt however was whether there were any serious motor manufacturers in the world who would not be pleased to see a plant with the capacity of Longbridge closed, as there was and still is too much capacity for motor manufacture, the results of which are all too visible right now.
Although they tried, the group could not find a partner even though discussions with a Chinese company went right up to the deadline. We all know the outcome; six thousand Longbridge workers out of work and more in the supply chain and what was left of the company went to China for peanuts anyway. We are still hearing promises about some form of production of the MG sports car but nothing seems to materialise from this either. The government did much the same as they are doing today, they announced loads of meaningless initiatives but said their hands were tied by European legislation regarding financial help – although they didn’t seem constrained by the same requirements when bailing out the financial system recently.
Then the UK government in its wisdom decided that they needed to hold an enquiry to discover what happened to the £300 million that was given to the company by BMW as a loan so that the Phoenix group could take a plant that BMW had announced was loosing £290 million a year off its hands. Now these are all large numbers so they need to be put into some context; to develop a new car and get it to the marketplace costs around £250 – 500 million, so in motor industry terms these numbers are not that big. Bearing this in mind, the Phoenix group made a good job of reducing the losses when a company with the reputation of BMW could not - but it could not invest in new models.
So, there seems to be some smoke screen being put up by the government about £40 million in salary and pensions taken by 4 executives over 5 years. I am speechless, they have spent £16 million to discover that the Phoenix executives who put their own money and reputations on the line were paid about a quarter of what the new chief executive of the bailed out RBS is going to be paid.
I looks to me like the government is trying to ensure that blame is directed towards the people who were trying to save the company rather than towards their own weak and ineffectual efforts. Longbridge was not the same company that hit all the news in the sixties and seventies and by the time it closed they had not lost one minute to industrial action in 25 years and the workforce had voted to accept some of the most modern and efficient working practices in Europe. It is a great pity that their efforts have gone largely unrecorded.
I never doubted the commitment or the capability of John Towers and his team as I had worked with John since the eighties when I joined Land Rover. What I did doubt however was whether there were any serious motor manufacturers in the world who would not be pleased to see a plant with the capacity of Longbridge closed, as there was and still is too much capacity for motor manufacture, the results of which are all too visible right now.
Although they tried, the group could not find a partner even though discussions with a Chinese company went right up to the deadline. We all know the outcome; six thousand Longbridge workers out of work and more in the supply chain and what was left of the company went to China for peanuts anyway. We are still hearing promises about some form of production of the MG sports car but nothing seems to materialise from this either. The government did much the same as they are doing today, they announced loads of meaningless initiatives but said their hands were tied by European legislation regarding financial help – although they didn’t seem constrained by the same requirements when bailing out the financial system recently.
Then the UK government in its wisdom decided that they needed to hold an enquiry to discover what happened to the £300 million that was given to the company by BMW as a loan so that the Phoenix group could take a plant that BMW had announced was loosing £290 million a year off its hands. Now these are all large numbers so they need to be put into some context; to develop a new car and get it to the marketplace costs around £250 – 500 million, so in motor industry terms these numbers are not that big. Bearing this in mind, the Phoenix group made a good job of reducing the losses when a company with the reputation of BMW could not - but it could not invest in new models.
So, there seems to be some smoke screen being put up by the government about £40 million in salary and pensions taken by 4 executives over 5 years. I am speechless, they have spent £16 million to discover that the Phoenix executives who put their own money and reputations on the line were paid about a quarter of what the new chief executive of the bailed out RBS is going to be paid.
I looks to me like the government is trying to ensure that blame is directed towards the people who were trying to save the company rather than towards their own weak and ineffectual efforts. Longbridge was not the same company that hit all the news in the sixties and seventies and by the time it closed they had not lost one minute to industrial action in 25 years and the workforce had voted to accept some of the most modern and efficient working practices in Europe. It is a great pity that their efforts have gone largely unrecorded.
Tuesday, 30 June 2009
When it's gone, it's gone.
Yesterday was like most other week days; I got up, got ready, went to work, came home, did a little shopping and rounded the day off by providing the usual taxi service for my daughter, Lucy.
However, I live in Coventry and the events regarding the demise of even more of our motor manufacturing industry put a different light on these mundane activities.
After rising shortly after six o’clock I stood and looked out of the patio doors whilst the kettle boiled, looking over the fields to gauge the weather, I saw the sun briefly glinting of the rubble of the Jaguar Browns Lane factory a mile or so over the main A45 Birmingham Road, I knew that, whatever was going on there today, is did not involve the manufacture of motor cars. I recalled a story told to me by a colleague from their PR department regarding the occasional request from US Jaguar fans asking about the possibility of having a brick from the factory sent to them as a memento – they could have as many as they want now.
I left the house at around seven fifteen and took my usual route to work. The trip takes me past the Massey Ferguson factory in Banner Lane, A great example of 1930’s architecture with a huge monstrosity of a modern office block blotting the landscape. Not many people know that it started life as the Standard Motors factory, none of the younger generation will remember that this site used to supply the world with tractors and farm machinery. The ‘developers’ are in there now but the current economic crisis has forced even this activity to stop.
In the evening we popped out to Sainsbury’s to top up our provisions, the new store standing on the site of the Rover Canley factory, formerly Standard Triumph and from there we made our way into Coventry city centre past the Armstrong Siddeley and Rolls Royce factory, now a low cost hotel which has retained the old Armstrong Siddeley factory gates as an ornament.
Reminders of our motoring heritage are everywhere in this city. It is preserved in the Coventry Business School building which used to make Morris engines and in the street names which bear the names of the cars, cycles and motorcycles which used to be built here but, sadly, there is not much evidence of a live thriving industry any more.
It is true that we still produce a lot of cars in the UK but for how long? Frequent fluctuations in the global economy result in the need to adjust the numbers of cars built and the truth is that it is simply cheaper and easier and quicker to ‘reduce’ a British workforce than their counterparts anywhere else in Europe.
I was deeply affected by the plight of the Longbridge and more recently LDV workers. They are good, hard working people who are dedicated to building motor cars. They have not lost one minute to industrial action in the best part of twenty five years and have accepted every new working practice – and there have been a few, directed at them with good grace. True, productivity there was low but don’t confuse this with laziness, due to half a century of underinvestment, some of the production lines there were good examples of how cars were built a quarter of a century ago, indeed, until the old mini ended production recently, a visitor could engage in industrial archaeology and see how cars were built fifty years ago.
My own view is that Rover was sold off to BMW with suspicious haste at a time when the company was making profits in excess of £80 million. LDV has suffered the same indifference from our government. Subsequent events have proved that the German management had no idea of the relevance of this company to the British public and, more importantly, media and did not care at all about its importance to the British economy. The Russian owners of LDV have demonstrated that they also could care less about developing a strategic UK industry.
After the inevitable failure of BMW following some rather dubious statements regarding losses using their own eccentric accounting methods, the UK government should have behaved just like a French, German or Italian government would have and acted in the national interest to ensure that a major, strategic part of our industrial infrastructure remained viable. Instead ministers lined up to be seen as being concerned in front of the workers for the benefit of the media in the light of a looming election – just like now. After the election, with the exception of Richard Burden, Northfield’s hard working MP; they simply walked away apart from setting up some sort of task force which remained largely unheard from but has cost £14 million. With LDV, our own minister could not even take place in the negotiations because of a past incident with the Russian oligarch owner and a luxury yacht.
Just like my travels around Coventry demonstrated, when it’s gone, its gone and I am worried about just who is fighting for real jobs for all those skilled workers in our manufacturing industry.
However, I live in Coventry and the events regarding the demise of even more of our motor manufacturing industry put a different light on these mundane activities.
After rising shortly after six o’clock I stood and looked out of the patio doors whilst the kettle boiled, looking over the fields to gauge the weather, I saw the sun briefly glinting of the rubble of the Jaguar Browns Lane factory a mile or so over the main A45 Birmingham Road, I knew that, whatever was going on there today, is did not involve the manufacture of motor cars. I recalled a story told to me by a colleague from their PR department regarding the occasional request from US Jaguar fans asking about the possibility of having a brick from the factory sent to them as a memento – they could have as many as they want now.
I left the house at around seven fifteen and took my usual route to work. The trip takes me past the Massey Ferguson factory in Banner Lane, A great example of 1930’s architecture with a huge monstrosity of a modern office block blotting the landscape. Not many people know that it started life as the Standard Motors factory, none of the younger generation will remember that this site used to supply the world with tractors and farm machinery. The ‘developers’ are in there now but the current economic crisis has forced even this activity to stop.
In the evening we popped out to Sainsbury’s to top up our provisions, the new store standing on the site of the Rover Canley factory, formerly Standard Triumph and from there we made our way into Coventry city centre past the Armstrong Siddeley and Rolls Royce factory, now a low cost hotel which has retained the old Armstrong Siddeley factory gates as an ornament.
Reminders of our motoring heritage are everywhere in this city. It is preserved in the Coventry Business School building which used to make Morris engines and in the street names which bear the names of the cars, cycles and motorcycles which used to be built here but, sadly, there is not much evidence of a live thriving industry any more.
It is true that we still produce a lot of cars in the UK but for how long? Frequent fluctuations in the global economy result in the need to adjust the numbers of cars built and the truth is that it is simply cheaper and easier and quicker to ‘reduce’ a British workforce than their counterparts anywhere else in Europe.
I was deeply affected by the plight of the Longbridge and more recently LDV workers. They are good, hard working people who are dedicated to building motor cars. They have not lost one minute to industrial action in the best part of twenty five years and have accepted every new working practice – and there have been a few, directed at them with good grace. True, productivity there was low but don’t confuse this with laziness, due to half a century of underinvestment, some of the production lines there were good examples of how cars were built a quarter of a century ago, indeed, until the old mini ended production recently, a visitor could engage in industrial archaeology and see how cars were built fifty years ago.
My own view is that Rover was sold off to BMW with suspicious haste at a time when the company was making profits in excess of £80 million. LDV has suffered the same indifference from our government. Subsequent events have proved that the German management had no idea of the relevance of this company to the British public and, more importantly, media and did not care at all about its importance to the British economy. The Russian owners of LDV have demonstrated that they also could care less about developing a strategic UK industry.
After the inevitable failure of BMW following some rather dubious statements regarding losses using their own eccentric accounting methods, the UK government should have behaved just like a French, German or Italian government would have and acted in the national interest to ensure that a major, strategic part of our industrial infrastructure remained viable. Instead ministers lined up to be seen as being concerned in front of the workers for the benefit of the media in the light of a looming election – just like now. After the election, with the exception of Richard Burden, Northfield’s hard working MP; they simply walked away apart from setting up some sort of task force which remained largely unheard from but has cost £14 million. With LDV, our own minister could not even take place in the negotiations because of a past incident with the Russian oligarch owner and a luxury yacht.
Just like my travels around Coventry demonstrated, when it’s gone, its gone and I am worried about just who is fighting for real jobs for all those skilled workers in our manufacturing industry.
Tuesday, 16 June 2009
Green Shoots?
According to data from Warwick Business School, the rate of job losses announced by employers has fallen sharply, giving rise to hopes that the growth in unemployment may not be as high or as long-lasting as originally expected. Even the recent gloomy news from CIPD which speculates that over 300,000 jobs could go in the public sector does not necessarily contradict this as Thomas Prosser believes that significant numbers of these would be accounted for by natural wastage over the next 5 years.
Plan, What Plan?
Lord Mandelson has gone to great lengths today to explain why greater links between businesses and our higher education establishments can create opportunities and greater competitiveness for UK business and industry. The fact that our universities are already doing just this and have gained an international reputation for excellence, attracting interest from around the world is an indication of his inexperience and lack of knowledge in this area. What UK business needs is for government to develop a long term plan for the growth of our manufacturing sector, rather than its decline, and that would be helped by appointing someone with some experience of manufacturing industry – but such creatures are rare in parliament.
Monday, 15 June 2009
Support for LDV
Just in case it drops out of the news: Over 800 people at LDV + up to 2000 in the supply chain have lost their jobs because this country is more inclined to support profligate bankers than our hard working and strategically important manufacturing industry. It is incredible that a Labour government can allow so many working people to be thrown out of work, adding to benefits costs whilst losing tax income. There are also the social and personal costs of unemployment to the families of those affected. There are too few politicians who have any experience of, or concern for the UK manufacturing sector. Is this because it doesn’t pay high enough wages?
Friday, 5 June 2009
Politics before People
Managers and workers at Birmingham van maker LDV have been forced to cancel a lobby of parliament because of the cabinet reshuffle. They were told there would be no ministers to meet them because of events at Westminster. A classic example of politicians putting politics before people.
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