Thu. Sep 18th, 2025
Union Claims JLR Supply Chain Staff Urged to Seek Universal Credit

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Following the recent cyber attack on Jaguar Land Rover (JLR), workers throughout the company’s supply chain are reportedly being instructed to apply for universal credit, according to the Unite union.

Unite claims that staff are facing layoffs with “reduced or zero pay” in the wake of the cyber incident, which has compelled the automaker to shut down its IT networks and suspend production.

Unite is advocating for the UK government to implement a furlough scheme, drawing parallels to the support package announced by the Scottish government for bus manufacturer Alexander Dennis.

JLR has declined to comment on the union’s assertions. The company has previously indicated that factory production would not resume before September 24th, at the earliest. However, sources suggest that disruptions could potentially extend into November.

Sharon Graham, Unite’s general secretary, stated that it is the “government’s responsibility to protect jobs and industries that are a vital part of the economy.”

“Workers in the JLR supply chain must not be made to pay the price for the cyber attack,” she added.

Chris McDonald, the Minister for Industry, convened a meeting with JLR representatives on Tuesday.

In a statement released on Wednesday, he confirmed discussions with the firm regarding the resumption of production. He also plans to meet with other industry stakeholders and suppliers in the coming days to address the challenges they are encountering due to the cyber attack.

“We know this is a worrying time for those affected, and although Jaguar Land Rover are taking the lead on support for their own supply chain, our cyber experts are supporting them to resolve the issue as quickly as possible,” he stated.

A spokesperson for Prime Minister Keir Starmer indicated on Tuesday that there are currently no ongoing discussions about providing taxpayer assistance to JLR during the production halt.

JLR’s supply chain supports 104,000 jobs in the UK and forms the apex of a network of suppliers, many of whom are heavily reliant on the automaker as their primary customer.

The cyber attack, which occurred over two weeks ago, has forced the manufacturer to shut down its computer systems and halt production lines globally.

The crisis is estimated to be costing JLR at least £50 million per week. A criminal investigation is currently underway.

There are growing concerns that many of JLR’s suppliers, particularly small and medium-sized enterprises, lack the resources to withstand a prolonged interruption to business and the subsequent financial losses.

JLR’s three factories in Britain typically produce around 1,000 vehicles per day. The company has instructed a significant portion of its 33,000 employees to remain at home.

Liam Byrne MP, chair of the Commons business and trade committee, stated on Wednesday that the attack could lead to hundreds of supply chain staff being laid off.

Byrne stated that he has written to the Chancellor of the Exchequer to request emergency support for suppliers, similar to the assistance provided during the COVID-19 pandemic.

“This is not a mere flicker on the screen at Jaguar Land Rover, this is a digital siege and it’s sent a cyber shockwave through their supply chain,” he said.

“We think this is an attack which is much, much worse than the attack that took down Marks and Spencer.”

JLR has stated that the delay in restarting production is due to the ongoing “forensic investigation” of the cyber attack and the consideration of a “controlled restart” of global operations.

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