The other motoring stories of the week in brief...
Scrappage payments delayed
CAR DEALERSHIPS are facing potentially significant cashflow issues due to the non-payment of scrappage refunds by Revenue officials as part of their current industrial action in the public service dispute. Dealers have been told that civil servants working at the Vehicle Registration Office (VRO) and the relevant revenue officials are not processing the payments as part of the ongoing industrial action by members of the Civil Public and Services Union (CPSU) over public service pay cuts.
Customers are receiving the benefits of the scrappage payments from dealers who are then processing the paperwork and seeking a refund on these payments from the Government. This, however, has not been forthcoming as the officials in dispute regard this procedure as new work.
According to Alan Nolan, director general of the Society of the Irish Motor Industry (SIMI), the move is having a severe affect on dealers who are already struggling to maintain working capital funds, like many small businesses.
“It’s a worrying development and we hope it is rectified quickly. Dealers are honouring the scrappage payments to customers but are not being recompensed due to the industrial dispute.”
Fiat begins Chrysler integration
FIAT IS SET to take over the national operations for the Chrysler Group brands in 11 European countries in the next two years, part of a further move to integrate the two firms after the Italian group took control of the US auto giant. However, there are no immediate plans for Fiat to take control of the Chrysler brands in Ireland, where they are managed by the OHM Group.
Starting next month, Fiat will take control of Chrysler, Jeep and Dodge brands in 11 countries including Germany, Britain, France and Spain.
A Fiat spokesman, quoted in Autonews, said that distribution contracts with Chrysler importers in other European countries will also progressively shift to Fiat, which will eventually become the sole distributor of Chrysler brands in Europe.
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