On Tuesday November 2 Mr Bernd Pischetschrieder, chairman of the
board of BMW AG, released details on a number of positive changes within Rover Group at a
BMW press conference held in London.Longbridge manufacturing facility
Rover Group and Trades Union representatives have successfully reached an agreement
concerning the introduction of flexible work structures, reduction of employment and
overall cost savings at the Longbridge manufacturing facility. This agreement will enable
the Group to save expenses of up to £150 million in coming years.
Mr Pischetsrieder said: "The new approach we have agreed on is based on the common
philosophy that expensive machines and plant taciities must remain in use longer."
"The result of using production facilities more consistently and more productively
is a considerable increase in efficiency and cornpetitiveness over a long period.
"With the final agreement, we will be able to achieve our common goal of making
Rover profitable again by the beginning of the next decade," he said.
Production of the new Mini will go ahead at Longbridge if a ballot of U.K. Rover Group
associates supports these changes to working practices to cut costs and increase
efficiency.
New member of the board
Dr. Waller Hasselkus, member of the board of BMW AG and chairman of the board of Rover
Group, has resigned and will be succeeded by Professor Werner Samann, who has worked for
BMW sinee 1976.
Professor Samann has been manager of the Engines and Chassis Division since 1992, with
7,000 employees and sales of DM 5 billion.
Dr. Hasselkus will give up both posts at the end of the year.
