Machines Ltd today announces a programme of rationalisation for its Rugby site. A reduced
level of current and anticipated workload, largely due to the depressed primary markets of
oil, gas and petrochemicals, has resulted in the need to review its organisational
structure in order to maintain and improve its position in an increasingly competitive
Regretfully, it will be necessary to reduce manpower levels by up to 220 jobs in order
to lower costs and sustain the company's competitiveness.
Mr Neil White, Managing Director of ALSTOM Electrical Machines at Rugby said,
"I very much regret having to take such drastic action and it is not a decision I
shoulder lightly. However it is essential for the long term survival of Electrical
Machines that in the short term we reduce our expenditure to match our income, so that
when market conditions finally improve, we will have a basis from which to rebuild our
Full consultation with employees and their representatives will commence immediately
and it is hoped the need for compulsory redundancies will be kept to a minimum through
voluntary methods and redeployment within ALSTOM.
The company will also establish a 'job help' facility with professional support and
counselling to work closely with all concerned to help identify alternative opportunities
and training, wherever possible, for those affected.