More automotive cuts

Hat-tip to Dan Ashby from Left Biz...

160 jobs are at risk atNorthern Automotive Services in Gilwern.

The company has just entered a statutory 90 day consultation period.

99 redundancies were made three months ago. It's thought there will be about 200 workers kept on at the site.

Echoes of Merthyr

Hoover isn't the only company considering moving it's washing machine manufacturing operations abroad.

Indesit's Bodelwyddan site is thought to be at risk after the company opened a washing machine plant in Poland, potentially putting 300 jobs at risk.

Nothing confirmed by the company yet, but the Unite Union are saying the plant is subject to a 'citiical review'.

Make that three...

A bad day for North Wales as a furniture maker in Gwynedd announces it's closing at a cost of 65 jobs.

Gleneagle Furniture, who have a plant in Dublin which will stay open, blamed a problem with their bank and the weakness of the pound for the decision to close. Council officers working on the region's economy and regenration service were unable to safegard the jobs.

Jobless figures

Figures released today show the number of people claiming job-seeker's allowance in Wales has gone above 100,000.

During 2008, the number of new claimants rose by 28%.

It means 7% of the working population of Wales are now signing on.

It's worth bearing in mind that these figures have a lag to them, as they only go up to the end of 2008, and they only take account unemployed people who are actually claiming job-seekers, so the actual figure is likely to be significantly higher.

Worth remembering the figures are being tracked on my job loss map.

Two more companies make cuts

Makro has confirmed it's considering closing its Swansea store as part of a cost-cutting excercise. It's believed more than a hundred jobs could be at risk as a result.

And cheese-maker First Milk, who made 93 redundancies before Christmas, have announced a further 52 jobs are at risk at the plant in Maelor.

Last week's snow seems to have slowed the flurry of job losses (no pun intended), but today it seems they've picked up from where they left off.

This morning it was announced that 70 jobs could be lost at International Rectifier Limited, an electrical components manufacturer in Newport. These losses would be on top of the 54 redundancies made just three months ago.

And in Cardiff, MP Julie Morgan's campaign to keep the International Baccalaureate's UK HQ in the city looks to have failed, at a cost of about 300 jobs. The education standards body will be relocating many of its head office functions to Amsterdam, and keeping on just 40 of it's staff at the Cardiff base.

In a press release explaining the decision the company said:

"The locations had to meet a set of criteria deemed necessary to bring about organizational effectiveness and efficiency. Management considered criteria that included overall economical cost structure for the long-term, employment legislation and practices, attractiveness for staff relocation and transport links. Finally the locations’ ability to satisfy the global perception of the IB as international was also considered."

Many have taken this to be a slight on Wales, and Cardiff in particular, as it implies that we're not an 'international city'.

The Assembly gets ProActive...too little too late?

As the number of redundancies on my Job Loss Map tips 10,000, the Welsh Assembly announces:
"100 staff at the Japanese-owned automotive component manufacturer, Shimizu, based in Welshpool, could receive up to £2,000 of funding per individual for training and a wage subsidy of £2,000 each"

It's part of the new £48m ProAct scheme which aims to help employers keep their work force while orders drop-off. While they're not needed for their normal roles they'll be trained in up-to-date skills so that when orders pick up again the company will be well placed to meet demand.

Unfortunately the new programme is too late for the 500 steelworkers at Corus in Llanwern who learnt their fate a fortnight ago, the 200 workers at Sun-Juice who got confirmation of theirs today, or the Hoover workers who will get confirmation of theirs in the next couple of weeks, but it will be interesting to see if this is enough to protect the jobs in Welshpool, and indeed elsewhere when it's rolled out.

Ironically, today also saw Fforwm, the body representing Further Education colleges in Wales, claim that a £3m cut in Assembly funding will put 450 jobs at risk. So while 100 manufacturers in Welshpool will be offered training and job protection, the very people providing that training could face redundancy themselves.

One hand other, give and take...?

Contour cuts

Contour Premium Aircraft Seating have announced they will be making up to forty people redundant at it's plant in Llantarnam, near Cwmbran.

Despite the company proposing to use compulsory, rather than voluntary redundancies, MD Mark Crompton said “It is our aim to mitigate the impact of this action on our employees as much as possible during the forthcoming consultation period.”

Gordon Brown called the company "a success" when he visited during last month's whistle stop tour of the region.

Ideas for Life...jobs 'til March?

Today Panasonic announced it's to cut five per cent of its work force - 15,000 people. Half of those will based in Japan.

Panasonic employs just over 1000 people in South Wales, 400 making telephone switchboards in Newport, and 640 at it's Cardiff R&D and Manufacturing plant.

Still early days yet but recent manufacturing closures across Wales have made everyone involved pretty jumpy. Cardiff Central MP Jenny Willott branded any potential cuts 'a disaster' while Shadow Minister for the Economy David Melding AM called it 'extremely worrying news'.

It will be interesting to see if the Government at the Bay and/or the one in Westminster are able to do anything to ensure the axe doesn't fall in South Wales...the signs aren't good after the Corus debacle though.

Shameless plug...

Listen to my guest appearance on the widely acclaimed Politics Cymru Podcast, and hear my thoughts on the Corus debacle, plus the usual heady mix of politics, banter and assembly gossip from the three Dewis.

Sun Juice update

Workers at the Serious Food Sun Juice factory in Llantrisant have been told 127 of them will lose their jobs.

I'm still trying to find out whether this is instead of or on top of the 200 redundancies that were announced in November.

The company, which supplies Tesco and Starbucks, blames harsh trading conditions for the cuts.

Job Loss Map

Seems to be a lot of talk about South Wales, and Cardiff in particular, being protected from the recession by the public sector.

While it's true the large number of Local Government, NHS, University, and Quango employees in Cardiff are largely safe, there have still been a number of less high-profile redundancies across the region.

To see for yourself, check out the map below. It's a work in progress but nonetheless it shows just how badly the area's been affected. If anyone spots any that I've missed out please feel free to email me and I'll make the changes asap.

(ps. The map seems to work a lot better in Firefox browsers)

Help for the newly unemployed

The Assembly have announced £68m plans to help the newly redundant re-train and get back into work. They've been touting it as a response to the Corus announcement, although it seem this press release was published before the extent of the redundancies was confirmed.

Quick response or slick PR?

I also feel obliged to ask why the Welsh Assembly are paying to pick up the pieces when Corus have admitted (see the press release in yesterday's post) that they will be making £200m operating profits as a result of this 'competitiveness initiative'?

I also wonder how well the Unions have dealt with this situation. Back in December, there was talk of a 10% pay cut being offered to save jobs. Community Union apparently rejected it...now 10% of their members are being made redundant.

Corus Steel

On a day of global job cuts, the recession (it's official) made its presence felt closer to home today when one of the region's largest employers wielded the axe.

Corus have announced it intends to shed 10% of its work force to cope with the fall in demand for steel.

Of 3,500 planned redundancies, 2,500 will be UK based, with around 1,100 in Wales. Llanwern is the hardest hit site, where the mill is expected to be mothballed (although some fear closure altogether) and more than 500 staff laid off.

They blame the recession, falling steel prices, rising energy costs and the decline of the construction, automobile and manufacturing industries.

A press release outlining the company's 'initiative to enhance competitiveness" states:

"Today’s initiative is strategic and structural in nature. Elements of the initiative comprise long-term plans that were already under consideration, but which have been brought forward as a result of the slowdown. It should bring annual improvements in operating profit of more than £200m."

Another gloomy day...

Today saw more than 100 job cuts across South Wales.

Celtic Manor, the host of the 2010 Ryder Cup, announced that it will be losing 70 jobs. The five star resort becomes the latest victim as the downturn hits the service sector.

And Timet in Waunarlwydd joins the ranks of manufacturers shedding staff as it adjusts to the downturn in demand for aluminium. 23 staff will lose their jobs.

And 30 staff face redundancy at a City Link call centre in Cardiff.

Triumph Business Systems

South Wales Echo is reporting that Triump Business Systems in Abercanaid is making 70 of its staff redundant.

The company have refused to comment on claims from a worker that the staff were notified on December 12.

More info here.