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Economic Development

JLR chief Ralf Speth urges workers to accept pay deal

Letter from chief executive of luxury car manufacturer says pay offer is 50 per cent more than current inflation rate

Dr Ralf Speth, chief executive of Jaguar Land Rover, has urged workers to accept a new inflation-busting pay offer

(JLR) chief executive Ralf Speth has urged thousands of workers to accept an inflation-busting pay deal worth 7.7 per cent in the first year - and sought to calm pension fears.

The JLR boss has written to workers three-year offer which has been recommended for rejection by shop stewards ahead of a forthcoming workplace ballot.

Dozens of workers and to claim the proposed rise is being funded out of the company's defined benefit pension scheme with an alleged £240 million hit.

The ongoing dispute affects workers across the company including at its sites in Solihull, Warwickshire, Coventry, Castle Bromwich and Wolverhampton which was officially opened by the Queen last week.

But has pledged that this will be preserved and urged workers to accept a "strong and competitive offer".

He added: "I firmly believe that the offer on pay balances reward with responsibility.

"It is competitive within the context of the º£½ÇÊÓÆµ automotive industry and significantly beyond settlements in the wider º£½ÇÊÓÆµ economy.

"Our company offer means that Jaguar Land Rover employees will receive 50 per cent more than the current rate of inflation and, for a production operator, the deal is worth 7.7 per cent in the first year alone - a substantial deal which keeps you well ahead of the average for º£½ÇÊÓÆµ car workers."