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Gardner plans cutback

9th February 1985
Page 18
Page 18, 9th February 1985 — Gardner plans cutback
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Which of the following most accurately describes the problem?

GARDNER is planning to cut its by September.

The Patricroft, Manchester factory of the diesel engine manufacturer will lose 207 jobs over the next six months, the redundancies being spread across most departments.

Gardner at present has 960 employees. Four years ago that total was 2,400.

The company, which has been a Hawker Siddeley subsidiary since 1977, blames the latest cutbacks on worsening trading conditions resulting from a continuing low demand worldwide for its diesel engines for trucks, buses and ships. It has been estimated that there is at present a 30 per cent overcapacity in the 30 to 300hp diesel engine business.

Gardner feels that the Government's deregulation plans for the bus industry are reducing demand in that area where in the past it has been particularly successful.

The recent success of Gardner's main competitor in the UK, Cummins — in particular with its 10-litre engine — is clearly another significant factor.

ERF's adoption of Cummins 10 and 14-litre engines as the "standard" units for its tractive units, announced at last year's Motor Show must also have been a setback for Gardner.

In October last year (CM October 6) Gardner revealed details of the three new models with which it hopes to win back sales from Cummins,

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