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Axe falls at Perkins

21st July 1984, Page 7
21st July 1984
Page 7
Page 7, 21st July 1984 — Axe falls at Perkins
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ANOTHER 100 jobs are to go at the Perkins engine factory in Shrewsbury — the company which took over the Rolls-Royce diesel engine works earlier this year. All are shop floor workers.

It is the second time jobs have been cut at the plant by the new owners since they moved in. Last time 80 white collar staff went, the redundancies being announced in April, just three weeks after the takeover.

The latest announcement confirms months of anxiety by pro duction workers — but the cut is substantially less than numbers rumoured over recent weeks.

Perkins says the company remains committed to developing operations in Shrewsbury, but the move was vital to its future.

Perkins broke the news to its 1,500 workers at the Shrewsbury factory in a letter from manufacturing director, Norman Came. It spoke of the need to restructure operations to allow effective competition in world markets.

Mr Came's letter said that an intensive review which had taken place over the last few months had revealed a number of key areas where "significant improvements" were necessary and the unions had been informed that this meant about 100 redundancies.

"It is our firm conviction that nothing less than these propo sals will give us the opportunity we need to secure our future. None of us can settle for any thing less," Mr Came said in his letter. He added that it was hoped that most of the redundancies would be on a voluntary basis.

Commenting on the announcement, Perkins' deputy managing director, Peter Jack son, said: "The proposals we are putting to the unions re-em phasise our firm commitment to develop and improve our operation in Shrewsbury." They were, he said, aimed at securing the long term prospects of the vast majority of employees.

In addition to becoming more cost effective, it was also the intention to recruit a small number of apprentices.

Mr Jackson said: "The company is basically in sound shape but this reorganisation is vital if we are to retain our competitive position in world markets. We have a good quality and well respected engine range but we are in a highly competitive situation where the cost of the product to the customer is all-important.

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