Electronics plant cuts 240 jobs

Simclar run a worldwide electronics manufacturing business

Up to 240 jobs are to be lost at the Simclar electronics manufacturing plant in Irvine.

The cuts at the Ayrshire operation follow the firm's decision to withdraw from hard-tooling manufacturing.

It blamed a downturn in orders, rising cost of production and competition from "low-cost" countries overseas.

The Simclar Group employs about 800 people at its plants in Scotland. The Irvine job losses include 200 permanent and 40 temporary positions.

The move represents almost half of the 500 staff employed at the plant.

This is obviously devastating news so close with the run up to Christmas Brian Donohoe Central Ayrshire MP

Simclar said the recent loss of a key contract meant it was no longer viable to continue the work at the site.

A spokesman added: "The hard-tooling operation has been competing in an increasingly tough business environment.

"The company has made all efforts possible to keep the operation viable, but the recent loss of a key contract, rising cost of production and relentless market pressures has made continuing with hard-tooling unsustainable."

The group, Scotland's largest family-owned manufacturing concern, was founded by chairman Sam Russell in 1976 and has operations in Dunfermline in Fife and Kilwinning in North Ayrshire as well as in Mexico, China and the US, with a worldwide workforce of about 2,200.

Central Ayrshire Labour MP Brian Donohoe said: "Whilst I understand this can be a fluctuating industry, this is obviously devastating news so close with the run up to Christmas.

"I will be contacting Scottish Enterprise Ayrshire and the Job Centre to ensure that a retraining programme can be put into action for those workers affected."

Simclar said it had entered into consultation with union representatives and employees.