Over 100 agency workers, employed on the DHL logistics contract at Tata Motors ' Jaguar Land Rover plant at Halewood in Merseyside have had their jobs saved, the Unite union claimed.
The workers, employed by the Staffline agency, had been informed they were to be 'let go' after the JLR site announced it was temporarily ceasing production during the coronavirus crisis.
However following the intervention of Unite and the support of local MP Maria Eagle, Staffline has reversed its decision and the workers will instead be furloughed on 80% of their pay.
Unite regional officer Alison Spencer Scragg said: "Following Unite's intervention and the support of Maria Eagle, I am pleased that Staffline and DHL have reversed their decision and that these workers have been furloughed rather than be made redundant.
"During these unprecedented times it is imperative that employers act responsibly and utilise the government job retention scheme wherever possible.
"If this group of workers had been made redundant then given the present economic circumstances it would have been very difficult for them to find alternative work and those affected would have been forced onto universal credit."