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Friday, 22 December, 2000, 06:46 GMT
Kvaerner closure hits 200 jobs
Gas turbine
The plant makes gas turbines
Kvaerner Energy in Clydebank is to close its doors on Friday with the loss of 200 jobs.

The Anglo-Norwegian firm announced it was shutting down the plant in November after a buy-out plan by former managers collapsed.

Enterprise Minister Wendy Alexander held last ditch talks with the company and unions in a desperate bid to save jobs.

But the former John Brown shipyard will close its doors for the last time on 22 December, making hundreds unemployed just days before Christmas.

Kvaerner flags
Kvaerner has been trying to sell the plant
Kvaerner announced last year that it was pulling out of shipbuilding because of spiralling costs.

Chief executive Kjell Almskog said the company was offloading operations in Clydebank and Govan with others in Norway, Germany and Finland.

He blamed the move on excessive shipbuilding capacity in Europe and the falling value of the Korean currency which made Asian shipbuilding more competitive.

Immediately after the announcement, the UK Government formed a taskforce to try and find a buyer for the Govan yard.

Earlier this year, the 200 manual workers voiced their opposition to any sale by holding a work-in.

Tensions eased when Newco, a consortium of former managers, looked to have clinched a buy-out deal.

'Sad day'

However, the deal collapsed in November after the consortium failed to meet the conditions of the sale set by Kvaerner.

The news was greeted by disbelief from Jim Moohan, engineering spokesman for the GMB union in Scotland

He said: "It is a very sad day for manufacturing on the Clyde that this historic industrial concern is to be no more."

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See also:

23 Nov 00 | Scotland
Energy plant rescue attempt
16 Nov 00 | Scotland
Jobs go after plant sale fails
04 Aug 00 | Scotland
Kvaerner plant 'set for take-over'
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