Approximately 300 DHL supply chain workers at Jaguar Land Rover’s Solihull plant have voted to launch an indefinite strike, escalating tensions in the UK automotive sector. The Unite union confirmed the industrial action after 96% of members rejected DHL’s latest pay offer in a ballot with 84% turnout.
The dispute centers on pay disparities between DHL logistics staff and directly employed JLR workers performing similar roles. Analysts note this mirrors wider ‘two-tier workforce’ tensions across UK manufacturing. DHL holds the JLR contract through its Supply Chain division, handling parts sequencing for the Range Rover and Defender production lines.
‘This reflects boiling frustration among outsourced workers during the cost-of-living crisis,’ said a manufacturing sector analyst speaking anonymously due to client relationships. ‘Logistics firms face squeezed margins while automakers post record profits.’
JLR reported £2.5bn pre-tax profit last quarter but warns strike action could delay deliveries of its high-margin SUVs. A DHL spokesperson stated they remain ‘committed to constructive dialogue,’ while Unite regional officer Jason Roberts called the vote ‘a last resort after 18 months of stalled negotiations.’
The strike timing coincides with JLR’s transition to electric vehicle production, exposing vulnerabilities in just-in-time supply chains. Industry sources suggest the automaker may face pressure to intervene given potential losses exceeding £100m per week if parts flows halt.