Friday, November 21, 2008

Can they do this legally – surely some terror law covers this

Honda to close Swindon factory for two months

The plant's 5,000 employees will be laid off for the duration of the closure without pay.

Posted by matt_the_hat @ 08:36 AM (992 views)
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10 thoughts on “Can they do this legally – surely some terror law covers this

  • If banks can be forced to lend mortgages that nobody wants and builders should build houses that nobody will buy, why shouldn’t honda continue to produce cars that nobody will purchase?

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  • This sort of thing was common in the 70s. Anyone remember the 3-day week?

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  • Will the workers be entitled to claim some form of unemployment benefit, during this period? I was only a child during the upheaval of the 70s, so have no idea how people managed.

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  • matt you are misleading here, they will get basic pay…

    The plant’s 4,800 employees will be laid off for the duration of the closure, although they will still receive basic pay, the company said.

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  • I live near Swindon – it’ll be a grim old Christmas and New Year around here. A lot of people work at Honda and BMW (also closing for 4 weeks over Xmas). They’ll all be worried there are redundancies on the way next year.

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  • Unemployment is obviously exploding. We don’t know the half of it.

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  • So lets say each employee basic salary is £400 a week ( a Guess ? ) , So thats 4,800 x £400 x 8 weeks = £15,360,000.00 for producing nothing plus the costs on maintaning a non productive Factory — Well thats a £15 + Million well spent then ? Oh well lets look on the bright side of things , everyones on an 8 week wonderful Holiday / break and still getting paid for it ?? And for the record I drive the new shape Honda Civic , and its one of the best cars I have ever had the luxury to drive —- So things must be very dire !!!!!

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  • While it will cost them the wages for no production, you have to remember they can’t sell what they do produce. They currently have thousands of new cars parked up at an old airfield close to Swindon. So it makes sense to reduce outgoings to a minimum (basic wages + cost of keeping factory on standby) rather than spend huge amounts on energy and supplies to make cars they can’t sell.
    This will impact all their suppliers too – the knock on effects will be bigger than just who works at Honda.

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  • 3. mark – Sure I misunderstood (didn’t read the article in full) that’s why I posed the legality argument.

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  • The plant’s 4,800 employees will be laid off for the duration of the closure, although they will still receive basic pay

    The workers who are forced to work there as contractors without will receive nothing

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