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oden cutbacks as rder book bulges
Page 7
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rODENS is to trim its workforce by 406, it was announced last veek.
The cuts, says Fodens, were precipitated by the national !niiineering strike, but have, in fact, been inevitable for some ime now, writes the Technical Editor.
At first sight the move seems a strange one, as Fodens has a bulging order book and the difficulty is in making and supplying vehicles rather than trying to sell them. ;_ii e SIO range has proved to be one of the most successful in the company's 120-year history and the eight-wheeler model has re-established Fodens as market leader in that category.
However, Foden has deve loped and rationalised its range now for the eighties, so there is little development work to be done.
Additionally, with its computer-controlled assembly line — claimed to be the most modern in Europe — increased production does not mean a major increase in personnel.
Some of the surplus manpower may be re-deployed, say Fodens, in its expansion plans.
Of the 400 people to lose their jobs, 80 will be cut from the administration/ development side while the remainder will go from the general workforce.
In spite of the cutback, the determination which Fodens have to re-establish themselves as a leading premium heavy vehicle builder became clear last week.
At the launch of the final two models in the Foden SIO range — see CM November 2 issue — Fodens made it clear that it may be make or break for the company.
Fodens now has the orders, the product and the capability, it says.