BMW, manufacturer of Mini, announced plans to close its Oxford factory for four weeks to cut production as sales fall. Last month in Britain sales of Mini cars plunged 40 per cent against a general market fall of 23 per cent.

Until now the Mini has escaped much of the real pain in global car markets. In the US, motorists have traded down from large SUVs to the compact car.

In four weeks’ time, however, the gates at BMW’s Oxford plant, which is more famous under its old Rover name of Cowley, and a pressing plant in Swindon will close until after the new year.

Workers will not lose any money during the closure except for shift premiums because of a system of working in which they can be asked to stand down during lean periods and work extra during busy ones – so-called timebanking.

The shutdown is worrying the unions, nevertheless. Roger Maddison, national officer of Unite, said: “We have robust agreements in place to protect our members as much as possible during these difficult times. However, we remain vigilant and we are keeping a close eye on developments in the car industry.”

Other carmakers in Britain have already imposed production cuts and Jaguar Land Rover has begun cutting permanent jobs. The Mini shutdown, though, is the most dramatic in terms of the length of the closure. Some 9,000 fewer cars will be made.

As is customary in the car industry, BMW had planned to close its factories during Christmas and the new year anyway. The German carmaker doesn’t yet know what its plans are for the New Year and it is monitoring the markets daily. Most automotive chief executives believe there will be no recovery next year.

That production of the Mini is being cut so radically is a sharp reminder of the dire state of the car markets. When BMW redesigned the car, production surged. The new Mini, with its bigger, more rounded, updated look, was unveiled shortly after it of-floaded the rest of the Rover Group eight years ago. The car enjoyed a surge in popularity almost as strong as when it was launched in 1959.

The new Mini has been one of the continuing success stories in an industry buffeted by rapid changes of fashion. The carmaker has managed to revive the spirit of the Mini, which over the years has become possibly Britain’s best loved car. In its heyday in the Sixties and Seventies it was fashionable and fun. It was driven by models, pop stars and featured in the film The Italian Job in what has been voted the best ever car chase scene.

It is Mini’s 50th birthday next year and a host of events will celebrate the endurance of a car that was loved for almost three decades but which suffered a sharp downturn in the Nineties when Rover wound down the model. The celebrations will be dampened if the Mini is still suffering falling sales and moves from temporary closures to job cuts.

Times online

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