MP Dunne plans meeting over Bridgnorth Novelis job losses
Tuesday 7th September 2010, 3:05PM BST.
MORE THAN 300 jobs could be axed at a Shropshire foil plant after bosses announced proposals to close the factory.
The 319 workers at Novelis in Bridgnorth – a foil rolling and packaging company – were told the “devastating” news late yesterday.
A formal 90-day consultation process with staff has now begun at the Stourbridge Road plant, which is earmarked for closure at the end of June next year.
Bosses have blamed “over-capacity” in the European foil market and increasing competition from other countries for the decision.
MP Philip Dunne today described the announcement as a “bleak day” for Bridgnorth and said he planned to meet with management, staff and union representatives in the next two weeks in a bid to find a solution.
Tadeu Nardocci, president of Novelis Europe and senior vice-president of Novelis Inc, said: “The proposal is primarily to address European market and structural conditions, not because of any performance issues at Bridgnorth.
“Indeed, I would like to pay tribute to the professionalism of the highly-skilled team of employees at the site.
“The proposed consolidation of our foil and packaging businesses at the other plants in the Novelis Europe system would enhance our overall competitiveness and our sustainability as Europe’s leading supplier.”
The proposal is expected to have a huge impact on the town, where many of its workers live.
Staff plant manager Steve Westwood, in a letter to employees, said: “We will do whatever we reasonably can to minimise the effects on everyone involved.
“As part of that, throughout the consultation period we will continue to communicate as affectively as we can the progress we are making.”
If the closure does go ahead existing customer orders will be fulfilled.
Mr Dunne said: “This is a very worrying time for all the employees and suppliers to the plant.
“There are many other people and companies in the area who are dependent on the plant and I hope the company will not rule out the possibility of selling the plant as a going concern.”
By Lisa Rowley
UK News
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How pleasant it is to read of an MP “planning a meeting” to try and reach a resolution in this sad matter in contrast to our very own David Wright MP “demanding” a meeting over the equally sad RBS job losses in Telford.
Of course, I hope that some success will come of both courses of action, but it strikes me as wiser counsel to try and reach a decent conclusion through negotiation in a matter where one has very little control rather than instantly adopting a demanding attitude, thereby diminishing the chance of success and looking feeble when having to back down from the posturing, aggressive stance.
What we see in Mr. Dunne’s restrained actions is an MP who is more concerned with moving the matter forward than getting on his hind legs and barking away to little effect bar to receive self congratulatory back-slaps from a core of supporters who see potential redundant workers as political pawns rather than people in their own right
Sometimes, it makes me wish that UKIP had not split the Tory vote in Telford and that we could have experienced being represented by a less confrontational peoples’ servant.
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Yet another American owned company kicking the UK workforce.
This is a devasting decision for the workers at Bridgnorth and for the town itself.
If we continue to get these decisions from the private sector where are all the jobs the government say need to be provided come from, all I can see is a massive increase in unemployment when the cuts come to the public sector. These cuts will have a knock on effect to the private sector as contracts will be lost and even more people will lose their jobs.
I already know of someone who has lost their job due to the cutbacks in building of the schools, the company he worked for had a contract for a number of the new schools and this contract has now been torn up and peoples jobs have gone as a result.
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Indian to be exact
http://www.novelis.com/internet/en-us
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To Rodney from your guff
“Sometimes, it makes me wish that UKIP had not split the Tory vote in Telford and that we could have experienced being represented by a less confrontational peoples’ servant”
We would have had just another Tory or worse LibDem lap dog, adding a restriant voice, talking of Voices whats happened to the Other Teflord MP Mr Prichard a Tory, no mentions from with regard to the Plight of the RBS likewise now in power the cosford situaution which he championed in opposition.
In opposition he pressed the then Defence Minister Bill Rammell in Parliament, and now in opposition is more “restraint” and urged campaigners to seize the opportunity and write to Defence Secretary Liam Fox to make the case for RAF Cosford.
As i said Lapdogs
http://www.shropshirestar.com/latest/2010/03/16/cosford-staff-demoralised-by-plan-delay/
http://www.shropshirestar.com/news/2010/06/03/fresh-hope-for-raf-cosford/
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The public sector is funded 100% by tax raised from what would otherwise be private sector profits. Fine, except that successive UK governments have allowed the public sector to grow such that UK private enterprises have been starved of profit to grow internationally. Contrast this with the likes of Hindalco (Indian owner of Novelis) and Tata (Indian owner of Jaguar and Corus/British Steel). Hence many of our large manufacturing operations are now foreign owned, rather than the other way round.
If the corporate financial decisions are made abroad there is no emotional reason to keep a high tax, high regulatory overhead UK plant open and prop up a profligate UK Government and public sector. Any large foreign owned UK plant is at extreme risk of closure, with no notice and little prospect of reversal of any decision.
There is a risk that reduced private sector employment means reduced tax revenue, which leads to increases in taxes, which in turn further reduces private sector employment as more UK factories close. Are we reaching the tipping point, when it becomes impossible to raise tax to fund the public sector? When will we see the current Greek scenario in the UK?
Making the UK an attractive place for multinational companies to operate in should be the top priority of the UK government. More private sector profit means more future tax revenue potential, which means a better funded welfare state. Please suggest this to your MP and ask what he is doing about it.
At the very least, try to get a UK national as your site director, so he/she has some emotional reason to save your plant.
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Martin – you said “Yet another American owned company kicking the UK workforce.”
Novelis is a subsidiary of Hindalco Industries Ltd., part of the worldwide Aditya Birla Group.
This is an Indian company not American.
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If you read the atricle about David Wright “demanding” a meeting with RBS, I think you’ll find it quite difficult to find such a demand being made him.
He says ” am now seeking a meeting with senior RBS management” which isn’t that different from Dunne’s planning a meeting is it?
So it appears that the heightened phrasing, claiming that David has been demanding, is entirely a concoction by the Star – well, there’s a surprise…..
Even if David did demand a meeting, to be honest, as one of his constituents, he has my support in doing so. I’m angry about this, similarly as a resident of Telford and its elected representative, he has every right to be so. I want my member of parliament to show some passion, regardless of whether you think he’s just interested in getting a headline.
Maybe Mr Dunne could persuade the Venture Capital Trust (Baronsmead VCT4), of who he holds a renumerated directorship, to support Novelis?
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Britain is too expensive for a manufacturing base.
May be it has some to do with the cost of living. You only have to look at house prices.
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