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ERF throttles back
Page 6
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• ERF is cutting vehicle production back to a four-day week from 13 November, blaming "the current economic situation and a general downturn in the UK truck market". The service and parts divisions will continue to work normally.
The four-day week is expected to last until the Christmas break, which will be extended by four days. Early retirement and voluntary redudancies are also being considered, but ERF says that the four-day week is only a temporary setback. "The company is confident about its long-term future." says chairman Peter Foden, citing "much improved products, market penetration, and a strong balance sheet". This confidence is reflected in a model launch — see Vehicle News, page 14.
El Foden experimented with a four-day week last month, but says the two-week trial was a failure because there were too many problems with deliveries to the factory. It is now building trucks to order on a fiveday week.