Leyland Daf vans Archbold threat fades
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operation saved
• The sale of the Leyland D-af truck plant is believed to be imminent, following last weekend's management buyout of the Birmingham van operation.
Most of the £40m capital for the MBO was arranged by 3i; the major backer is the Royal Bank of Scotland. Some 42 acres of the Common Lane site were sold to the Birmingham Heartlands Development Corporation, mis ing £4m. and the DTI gave a L-5111 Regional Selective Assistance grant. Finance house UDT is funding stocks for the 130 main dealers.
The 975 employees are to be offered shares representing up to 10°4 of capital; they have accepted an 8°0 pay cut and a longer working week to help the bid.
The business plan relies on production at the current level of 1012,000 vans a year. The 400 Series will remain the mainstay product for at least the rest of the decade.
• The threat of industrial ari, at Archbold evaporated this \Seek when West Yorkshire owner-drivers conceded they were powerless to stop the company cutting rates to subcontractors.
At a poorly attended meet ing last weekend the owner-drivers drew back from earlier threats of picketing Archbold Freightage's Keighley depot. Anger first flared in February when Archbold imposed a 10°0 rates cut on the 40 owner-drivers working on the Magnet Joinery contract.
The 20 owner-drivers at the meeting decided they could not bank on support from their colleagues and feared victimisation from Archbold if they went ahead with any action.