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GKN-Dana merger

Unite calls for assurances over proposed tie-up
Alex Flynn, Friday, March 9th, 2018


Unite called for assurances on jobs and investment after details of a proposed merger between GKN’s Driveline division and Dana emerged today (March 9).

 

Responding to news of a possible tie up, Unite which represents over 500,000 manufacturing workers, said it would be seeking further detail on the deal from GKN and Dana, in addition to clarity on the future of GKN’s aerospace division.

 

News of the merger comes amid a debt-fuelled takeover bid for GKN by Melrose.

 

“Unite has a relationship with Dana here in the UK and will be seeking further detail on the structure of a possible tie up with GKN’s Driveline division,” said Unite assistant general secretary for manufacturing Tony Burke. “Unite will also be liaising with American unions representing Dana workers in the US.

 

“GKN’s automotive workers are at the cutting edge of electric vehicle technology and are central to the UK government’s industrial strategy. Over the coming days we will be seeking assurances over jobs and investment to ensure that any merger strengthens the position of GKN’s Driveline division as a world leader.”

 

“While we’ve been aware of discussions taking place, as always the devil will be in the detail of this proposed merger,” said Unite assistant general secretary for aerospace Steve Turner.

 

“Unite will be seeking urgent meetings with the company to understand its implications for jobs, future products, work content and investment across GKN’s aerospace and automotive divisions,” he added.

 

“GKN aerospace workers will want to know how the proposed merger will affect them in particular, what any deal means for jobs and pensions, alongside existing and future investment strategies.

 

“A smaller aerospace group could also be vulnerable to future predatory and hostile bids and Unite will want to see protections in place to safeguard the group from such threats.

 

“Unite will also be pressing Melrose on what it now intends to do with its debt-fuelled takeover bid for the group as a whole when we meet with the company next week.”

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