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MEGA DEAL

More than 1,000 jobs saved at Ellesmere Port factory after Peugeot and Fiat Chrysler agree on £38billion merger

MORE than 1,000 UK jobs are set to be saved after Peugeot and Fiat Chrysler agreed on a £38billion merger.

Company bosses have assured workers at the Ellesmere Port factory there will be no job losses as a result of the deal.

 Bosses at the new company have assured no factories will be closed as a part of the merger
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Bosses at the new company have assured no factories will be closed as a part of the mergerCredit: PA:Press Association

But union chiefs are calling for an urgent meeting with the auto giant to obtain "watertight guarantees" on the long-term future of employees.

Des Quinn, national officer at Unite, said: "It is essential that such a meeting happens as soon as possible, to alleviate the natural and legitimate concerns of the workforce."

PSA Group, the French parent company which owns Vauxhall and Peugeot, finalised the 50-50 merger yesterday with Italian-US company Fiat Chrysler.

The combined company will include Fiat, Alfa Romeo, Chrysler, Citroen, Dodge, DS, Jeep, Lancia, Maserati, Opel, Peugeot and Vauxhall.

 Union bosses are demanding a meeting with the auto giant to sure up the future of more than 1,000 workers at Ellesmere Port
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Union bosses are demanding a meeting with the auto giant to sure up the future of more than 1,000 workers at Ellesmere PortCredit: Getty Images - Getty

The partnership makes the automaker the fourth biggest in the world, with combined annual sales of 8.7million a year.

The merger is expected to be completed in 12 to 15 months, with its headquarters located in the Netherlands.

Mike Manley, chief executive at Fiat Chrysler, said: "This is a union of two companies with incredible brands and a skilled and dedicated workforce.

"Both have faced the toughest of times and have emerged as agile, smart, formidable competitors."

Carlos Tavares, chairman at PSA Group, said: "Our merger is a huge opportunity to take a stronger position in the auto industry as we seek to master the transition to a world of clean, safe and sustainable mobility and to provide our customers with world-class products, technology and services."

The merger comes after the Vauxhall boss threatened to move construction to southern Europe if Brexit affected trading.

If the factory was closed, it would leave the Luton factory as Vauxhall's last production line in the UK.