As the government explores options to support suppliers it should ensure that the carmaker foots the eventual bill
Here are a few principles for the government to bear in mind as it contemplates intervening to support car component suppliers hit by the fallout from the cyber-attack on Jaguar Land Rover.
First, JLR is a large and rich company that should support its direct suppliers itself – indeed, it will often have a contractual obligation to do so. Second, any intervention should be aimed at firms that are more exposed because their relationship with JLR is indirect – the suppliers to the suppliers, as it were. Third, even in the latter case, there is a fair argument that ministers should try to strong-arm JLR into picking up the eventual bill. One aim, after all, is to ensure that JLR’s eventual return to production is as smooth as possible.
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