{"id":9418,"date":"2016-08-02T15:51:48","date_gmt":"2016-08-02T14:51:48","guid":{"rendered":"http:\/\/unitelive.org\/?p=9418"},"modified":"2016-08-03T15:37:22","modified_gmt":"2016-08-03T14:37:22","slug":"wake-up-call-4","status":"publish","type":"post","link":"https:\/\/unitelive.test.igniteamt.com\/?p=9418","title":{"rendered":"Wake-up call"},"content":{"rendered":"
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The latest manufacturing figures released yesterday (August 1) have shown that the uncertainty unleashed by a Brexit vote is no passing phase.<\/p>\n

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The closely-watched Markit\/CIPS UK manufacturing purchasing managers\u00e2\u20ac\u2122 index fell to levels last seen in February 2013 as it hit 48.2 in July, down from 52.4 in June and below economists\u00e2\u20ac\u2122 expectation of 49.1.<\/p>\n

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A reading above 50 indicates growth. The survey also found that the rate of job losses across the sector was its second sharpest for almost three and a half years.<\/p>\n

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Unite assistant general secretary Tony Burke argued that now is the time for immediate action.<\/p>\n

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\u00e2\u20ac\u015bAt a time of increasing economic uncertainty, these figures should serve as a wake-up call to the government and underline the need for ministers to start pursuing an active industrial strategy,\u00e2\u20ac\u0165 he said.<\/p>\n

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\u00e2\u20ac\u015bMinisters now need to urgently deliver on Theresa May\u00e2\u20ac\u2122s promise of an industrial strategy and should be looking to fast forward major infrastructure projects and ensure they are built with the maximum amount of British-made materials, such as steel.\u00e2\u20ac\u0165<\/p>\n

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Burke said that the long-term health of UK manufacturing should be a top priority in any forthcoming Brexit negotiations.<\/p>\n

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Automotive<\/strong><\/em><\/p>\n

And within manufacturing, automotive and aerospace will be particularly crucial to the overall success of the UK economy as it treads through the uncertain world that the Brexit vote has created.<\/p>\n

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\u00e2\u20ac\u015bThe car industry is so crucial to the wellbeing of the manufacturing economy and has been for the past 8 years,\u00e2\u20ac\u0165 Burke said. \u00e2\u20ac\u015bIn fact, if you take away the production figures for the auto and aerospace industry from manufacturing, we really are largely back to where we were in 2008. It\u00e2\u20ac\u2122s these two industries that have been driving us forward.\u00e2\u20ac\u0165<\/p>\n

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While there aren\u00e2\u20ac\u2122t yet any signs that any of the main car companies are considering leaving the UK, Burke argued that \u00e2\u20ac\u015bexports into Europe of UK manufactured vehicles are crucial\u00e2\u20ac\u0165.<\/p>\n

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\u00e2\u20ac\u015bSo anything that disturbs that relationship will make the main car manufacturers consider their options.\u00e2\u20ac\u0165<\/p>\n

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Just last week, new figures showed that car manufacturing hit a 16-year high in the first half of 2016, with 900,000 cars coming off production lines at UK factories in the first six months of the year, a 13 per cent increase over the same time period in 2015.<\/p>\n

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Nearly 80 per cent of cars built in UK factories during the first half of the year were exported to other countries, with the EU being the single biggest market.<\/p>\n

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Mike Hawes, chief executive of car industry trade body, the Society of Motor Manufacturers and Traders (SMMT), said that the latest figures had not taken into account post-referendum uncertainty.<\/p>\n

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\u00e2\u20ac\u015bThe latest increase in production output is the result of investment decisions made over a number of years, well before the referendum was even a prospect,\u00e2\u20ac\u0165 he explained.<\/p>\n

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\u00e2\u20ac\u015bThese decisions were based on many factors but primarily on tariff-free access to the single market, economic stability and record levels of productivity from a highly skilled workforce,\u00e2\u20ac\u0165 he added. \u00e2\u20ac\u015bTo ensure the sector\u00e2\u20ac\u2122s continued growth, and with it the thousands of jobs it supports, these must be priorities in future negotiations.\u00e2\u20ac\u0165<\/p>\n

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And this is precisely what Unite has been calling for.<\/p>\n

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Unite manufacturing strategy<\/strong><\/em><\/p>\n

A Unite combine of senior shop stewards from the key manufacturing industries, including automotive, aerospace, engineering, chemicals, science, graphical and steel, among others, are now working to put together a strategy that examines the potential effects of Brexit on manufacturing, Burke explained.<\/p>\n

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The combine will issue a report in the coming months.<\/p>\n

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\u00e2\u20ac\u015bWhat we\u00e2\u20ac\u2122re saying is not very different from what all the industry associations are saying,\u00e2\u20ac\u0165 he said.<\/p>\n

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Like the SMMT and others argue, Unite believes the key to continued success in automotive and other manufacturing sectors is maintaining membership of the single European market, one that\u00e2\u20ac\u2122s free of tariffs.<\/p>\n

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\u00e2\u20ac\u015bIf we\u00e2\u20ac\u2122re faced with tariffs, exporting goods will be more expensive,\u00e2\u20ac\u0165 Burke noted. \u00e2\u20ac\u015bAnd let\u00e2\u20ac\u2122s remember also that tariffs work both ways. For example, although we\u00e2\u20ac\u2122ve been calling for more automotive components to be sourced locally from the UK — and we\u00e2\u20ac\u2122ve had some success in that endeavour — at this moment in time 60 per cent of component parts are still imported from elsewhere.<\/p>\n

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\u00e2\u20ac\u015bSo if we lose tariff-free access to the single market, we\u00e2\u20ac\u2122d be doubly hit \u00e2\u20ac\u201c cars would be more expensive both to make and to export.\u00e2\u20ac\u0165<\/p>\n

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The Unite manufacturing shop stewards are also calling for careful consideration of precisely what the UK\u00e2\u20ac\u2122s trading landscape will look like well before article 50 is triggered, a process which begins the UK\u00e2\u20ac\u2122s formal exit from the EU.<\/p>\n

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\u00e2\u20ac\u015bWe need to understand what the alternatives are,\u00e2\u20ac\u0165 Burke said. \u00e2\u20ac\u015bWe have to have a clear understanding of what other trade deals will look like – and within any new trade deal we will need strong trade defence mechanisms to stop dumping of goods as we currently are facing with steel, tyres, ceramics and paper.”<\/p>\n

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Seat at the table<\/strong><\/em><\/p>\n

Unite is looking to hold discussions with European manufacturing unions about the impact of Brexit, with the future of European employment rights for British workers at the centre of those discussions.<\/p>\n

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Standards that have been adopted across the European Union, which govern various different areas such as car emissions and health and safety will likewise be a top priority.<\/p>\n

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Crucially, Unite is calling for a seat at the table over any future Brexit negotiations.<\/p>\n

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\u00e2\u20ac\u015bNot only are we the biggest manufacturing union in the UK, we have representatives on European Works Councils throughout manufacturing so reps have a clear understanding of how Europe works and how business works,\u00e2\u20ac\u0165 Burke noted.<\/p>\n

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\u00e2\u20ac\u015bWe are also part of a global union with Workers Uniting, in partnership with the North American trade union United Steelworkers. They have significant experience dealing with trade issues to pass on to us.<\/p>\n

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\u00e2\u20ac\u015bNot least, as the UK\u00e2\u20ac\u2122s biggest union with more than 500,000 members in manufacturing alone, we have to defend our members and look after their interests. That\u00e2\u20ac\u2122s why it\u00e2\u20ac\u2122s crucial in any negotiations that we have a significant say.\u00e2\u20ac\u0165<\/p>\n

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The latest manufacturing figures released yesterday (August 1) have shown that the uncertainty unleashed by a Brexit vote is no passing phase.     The closely-watched Markit\/CIPS UK manufacturing purchasing managers\u00e2\u20ac\u2122 index fell to levels last seen in February 2013 as it hit 48.2 in July, down from 52.4 in June and below economists\u00e2\u20ac\u2122 expectation […]<\/p>\n","protected":false},"author":1,"featured_media":4932,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[17],"tags":[486,386,55],"wps_subtitle":"Manufacturing figures reveal Brexit uncertainty ","_links":{"self":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/9418"}],"collection":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9418"}],"version-history":[{"count":1,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/9418\/revisions"}],"predecessor-version":[{"id":9419,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/9418\/revisions\/9419"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/media\/4932"}],"wp:attachment":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9418"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9418"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9418"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}