CAR workers at one of the UK’s largest plants expressed their relief at still having jobs, as they returned to the production line on the day thousands of General Motors (GM) employees’ futures were thrown into doubt.

As 3,400 employees at the Honda plant in Swindon yesterday went back to work after a four-month shutdown, GM entered Chapter 11 bankruptcy in the US, allowing it to restructure without going into liquidation.

GM’s UK brand Vauxhall will not be affected, as its ownership has been transferred to a trust fund ahead of its expected sale, alongside European brand Opel, to Canadian car parts maker Magna International.

Last week, Business Secretary Lord Mandelson said Magna had given him a commitment that it would continue Vauxhall production in the UK. The car maker has plants in Luton and Ellesmere Port, which employ 5,500 people.

As part of a streamlining of its business, GM is expected to close about 14 plants, with possible US job losses estimated at 20,000.

It has been a torrid year for car makers, with Nissan in Sunderland announcing 1,200 redundancies in January. The Honda workers in Swindon have returned to the factory for lower wages and will be producing far fewer cars this year.

But Paul Wiseman, 33, who works in the engine department, said: ‘‘At least we have a job.”

He added: “We all understood the shutdown had to happen and we think it was a good idea.”

During the shutdown, 1,300 workers took the company’s offer of voluntary redundancy.

The remaining employees have agreed to a three per cent pay cut for the next ten months, while managers are having pay reduced by five per cent in the face of a big downturn in new car sales.

About 400 people who returned to work have been given new roles or training as their jobs no longer exist.

But director of planning and business administration, David Hodgetts, was positive about Honda’s future.

He said by the end of the month they hope to produce 600 cars a day.

“There was scepticism that we would reopen today so we are very happy that we have returned to work,” he said.

“We have halved our production to match sales and we will gradually increase over the next few months, so we are confident for the future.”

The US administration is expected to pump billions of dollars into GM as part of a plan that will eventually see the government own a majority stake in the operation after it emerges from bankruptcy.

GM’s bankruptcy will be temporary, possibly lasting between 60 and 90 days, while it restructures.

The US government intends to pump about $30bn dollars (£18.5bn) into the car maker to keep it operational while it reorganises.

It comes on top of $19.4bn (£12bn) in taxpayers’ money GM has already received in loans.

Under current plans, the US government will own about 60 per cent of the firm, the Canadian government will take a 12.5 per cent share, with unions owning 17.5 per cent.

Bondholders will be left with a ten per cent share.

GM is the second of the ‘‘big three’’ Detroit car makers to enter into bankruptcy.

In April, Chrysler filed for Chapter 11 protection while it hammers out a deal with Italian firm Fiat.