WORKERS at Nissan this week implemented new working arrangements allowing the company to add a third shift to production in the event of it landing the new Micra.

The manufacturing plant at Sunderland is in competition with the Renault factory at Flins in France to build the new Micra from 2002, with estimates putting job losses resulting from failure to land the contract at around 1,000 of the 5,000-strong workforce.

A spokesman for Renault in France confirmed that the Flins plant, although not currently operating a 24 hour shift system, was able to implement the working arrangement.

The news emerged after Nissan achieved its best results for 10 years, revealing an operating profit of £890m for the first half of the year.

But concerns surrounding the effect of the strength of sterling, highlighted by Nissan supremo Carlos Ghosn as the major deterrent against the new Micra going to Wearside, still haunt the industry.

Yesterday fellow Japanese car giant Honda confirmed plans to build a new ''super mini'' at its Swindon factory has been postponed, and the 4x4 Honda, the CR-V, which has just started production at the plant will be exported to the US.

Honda blamed the strong pound for the change to its production plans, and said employment levels will not be affected by the announcement, with Honda continuing to increase its workforce at Swindon from the present 3,000 to 4,000 by 2002