PRESS DIGEST - British Business Press - May 5
The Times
BLEARS URGED TO ABANDON FIRMS' BALLOT ON CROSSRAIL FUNDING
The Department for Communities and Local Government, run by Hazel Blears, is at the centre of a Cabinet row over the future of the 16 billion pound London Crossrail project. The Department has refused to exempt Crossrail from a requirement to ballot companies if they are being asked to shoulder more than a third of a scheme's costs. The refusal is at odds with Alistair Darling, the Chancellor, and Boris Johnson, Mayor of London, who have agreed to prevent business from being given a vote on whether they should help to fund the controversial scheme.
UNIONS AT VAUXHALL FEAR JOB CUTS AFTER FIAT DEAL
Workers at Vauxhall Motors are contemplating their future as Fiat Group(FIA.MI) plans to take over GM Europe, Vauxhall's parent company. Unions fear that Fiat will hope to cut costs by closing facilities in Britain if it succeeds, as GM Europe requires more funding than Fiat is capable of providing. Currently, the 5,000 Vauxhall workers at its plants in Luton and Ellesmere Port are working a four day week in response to plummeting car sales. Fiat is already under pressure not to cut jobs with powerful German labour groups also seeking employment assurances.
