BBC NEWS Americas Africa Europe Middle East South Asia Asia Pacific Arabic Spanish Russian Chinese Welsh

 You are in: UK: England
Front Page 
Northern Ireland 
UK Politics 
Talking Point 
In Depth 

Commonwealth Games 2002

BBC Sport

BBC Weather

Thursday, 29 November, 2001, 11:30 GMT
Rolls-Royce job cuts confirmed
Rolls Royce's Derby plant
About 1,900 workers at Derby will lose their jobs
Aero-engine manufacturer Rolls-Royce has confirmed that about 1,900 jobs will be lost at its Derby plant and 450 in Bristol.

The cuts in the workforce are a result of a 1bn slump in orders following the 11 September attacks.

A statement released by the company on Thursday confirmed that a total of 3,800 jobs will be lost in the UK with another 1,200 worldwide and 1,000 temporary jobs outside the UK.

The statement said that 1,455 workers at Derby will definitely lose their jobs and another 600 are likely to go but exact details have yet to be arranged.

A total of nine factories in England and Scotland will be affected including the 450 jobs being lost at the Bristol plant.

Talks with staff

Managers were holding talks on Thursday with workers throughout the country to explain the job losses.

The announcement comes after the company said in October it would cut 5,000 jobs worldwide and 3,800 in the UK.

The statement said: "This announcement covers 3,200 jobs.

"The balance of 600 job reductions will be announced in due course after further assessments of customer requirements and some internal re-organisation have been completed," it said.

A Rolls-Royce BR710 engine
There has been a 1bn slump in engine orders
"Additionally, Rolls-Royce can confirm the loss of 1,000 temporary jobs worldwide, which will be completed by the end of 2002.

"The permanent manpower reduction required at Derby will be 1,455. Rolls-Royce currently employs 12,550 people at Derby.

"It plans to achieve the reduction largely by the end of the first quarter of 2002.

"The majority of the 600 job reductions yet to be announced are likely to be in Derby, taking the total to approximately 1,900."

The job losses throughout the UK are at: Ansty, Warwickshire 165, Barnoldswick, East Lancashire 295, Bristol 450, Derby 1,455, East Kilbride, near Glasgow 40, Hillington, near Glasgow 410, Hucknall, Nottinghamshire 225 and Sunderland 45.

Job losses at the Newcastle and Gateshead plants, totalling 115 posts, were announced earlier in October.

The statement added: "Detailed consideration has been given to where the job reductions will be required. This has included the expected impact on company revenue in 2002, costs and productivity."

Redundancies avoided

It said that efforts would be made to avoid compulsory redundancies.

"Every effort will be made to achieve these job reductions by means of voluntary severance, early retirement, re-training and re-deployment.

"In addition, employees who are declared redundant will be able to spend eight weeks in one of the network of Rolls-Royce resource centres to help them in their search for alternative employment."

John Cheffins, chief operating officer for the company, said: "We regret having to make these job reductions, but we expect our revenue in 2002 to be about 1 billion less than we had expected, with civil aero-engine deliveries reduced by 30%.

"This is a result of customers re-scheduling deliveries in the civil aerospace business as a direct result of the events of September 11.

"As a consequence we need to align our cost base and capacity with demand."

See also:

29 Nov 01 | Scotland
Rolls-Royce cuts 400 Scots jobs
29 Nov 01 | England
Rolls-Royce workers await fate
30 Oct 01 | England
EU approves Rolls-Royce loan
13 Feb 01 | Business
Rolls-Royce gets government help
19 Oct 01 | Business
Rolls workers face uncertain future
19 Oct 01 | UK Politics
Ministers pressed to explain job cuts
18 Oct 01 | Business
Profile: Rolls-Royce
Internet links:

The BBC is not responsible for the content of external internet sites

Links to more England stories are at the foot of the page.

E-mail this story to a friend

Links to more England stories