Management at two shipyards in Glasgow are outlining their bid to win a vital contract from the Ministry of Defence.

BAE Systems is part of the only all-British consortium hoping to clinch the £200m order to build roll-on-roll-off ferries for the Royal Navy.

If secured, the contract will secure work at its Govan yard for the next few years but failure to land the work could lead to 1,000 jobs being threatened.

Preferred bidder

A preferred bidder is expected to be announced next month with work getting under way by the summer.

The timing would suit the Govan yard - which was bought by BAE Systems from Kvaerner last year - because work on two oil supply vessels for the MoD will be complete and the order book will again be empty.

But as the deadline nears, unions fear that the company is also planning job cuts.

Next week BAE Systems will unveil a radical new business plan for its Clyde yards, which could see them working more closely together on future contracts.

Govan is likely to become the centre for steelwork with outfitting being carried out at its sister yard at Scotstoun.

Efficiency move

Job cuts may well feature in this plan to make its shipbuilding division more efficient .

In the middle of last month, union leaders told the government it was vital the contract was placed with the Clyde shipyards.

The message was delivered by a delegation of trades union leaders who met with Defence Minister Baroness Symons.