Automotive workers at a major supplier to the likes of Nissan, BMW, JLR and Aston Martin are voting on whether or not to walk out on strike, due to a row over pay.
Around 200 employees at Llanelli Gestagamp are currently being balloted over the possibility of industrial action by trade union, Unite.
The union says that several employees at the site are currently earning minimum wage and a recent pay offer would only take them slightly above that level.
The wage structure means that staff will be paid less than workers at Gestagamp’s sister site in County Durham, where wages will start at £13.77 an hour from January.
The company, which manufactures metal parts including door and bonnet hinges, is based in Spain and reported an EBITDA of €1.4bn last year.
The ballot for strike action is now open to employees across the pay scale and will close on October 9.
Unite says that any strike would ‘severely impact’ carmakers’ supply chains.
Sharon Graham, general secretary of the union, said: ‘Gestamp is a hugely profitable company that can well afford to provide our members a reasonable pay rise.
‘There is no excuse for the huge pay disparity between Gestamp sites. The company’s Llanelli workforce have the complete backing of Unite.
‘Unite has a message for the car giants who use contracts with third parties like Gestamp to fragment supply chains and bolster already huge profits by driving down wages: The time has come to pay up.’
Earlier this month, Unite also announced it was balloting around workers at Pullmadflex, which makes car seats for Toyota, Nissan, VW and Stellantis, in nearby Ammanford.
That ballot closes next Tuesday (Sep 24).
Andrew Pearson, Unite regional officer, said: ‘Gestamp and Pullmaflex are facing severe disruption to their operations because of greed.
‘There is still a window of opportunity to avoid industrial action but that will require them to put forward offers that are acceptable to our members.
‘The highly profitable car manufacturers that rely on these low paid workers also bear responsibility for the disruption they are facing.
‘Unite will not let them off the hook for raking in cash through pay suppression in their supply chains. They need to clean up their acts.’
In response to the claims from Unite, Andrew Littlehales Pullmaflex’s branch manager in Ammanford, said: ‘Pullmaflex UK Ltd and Unite, which represents approximately 160 employees at Pullmaflex’s Ammanford location, are currently negotiating an annual wage increase.
‘We have worked diligently on this issue since December of last year. We take these negotiations seriously and have had several bargaining sessions and meetings with Unite on this issue while making good progress.
‘We have remained open and transparent throughout the process with Unite and our employees. Our offer is competitive with the area market. However, Unite is demanding an overall 40% increase when combining the base rate and shift premium.
‘Pullmaflex remains hopeful that negotiations will resume and come to a successful close, despite Unite’s reluctance. While a quick end is preferable, Pullmaflex has contingency plans to continue to serve its customers and avoid disruptions.’
Car Dealer has approached Gestamp for comment.
Jack Williams
Jack Williams’s avatar
Jack joined the Car Dealer team in 2021 as a staff writer. He previously worked as a national newspaper journalist for BNPS Press Agency. He has provided news and motoring stories for a number of national publications including The Sun, The Times and The Daily Mirror.
Leave a Reply