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Microchip factory cuts 800 jobs | Microchip factory cuts 800 jobs |
(about 4 hours later) | |
About 800 jobs are to go at a US-owned microchip factory in East Kilbride after the firm confirmed plans to cease production there. | About 800 jobs are to go at a US-owned microchip factory in East Kilbride after the firm confirmed plans to cease production there. |
Freescale Semiconductor had been looking for a buyer for the plant since September last year. However, in June the firm conceded it would close. | Freescale Semiconductor had been looking for a buyer for the plant since September last year. However, in June the firm conceded it would close. |
The company now says the factory will shut in Spring 2009. | The company now says the factory will shut in Spring 2009. |
It said previously that technology advances had resulted in falling demand for products produced in East Kilbride. | It said previously that technology advances had resulted in falling demand for products produced in East Kilbride. |
Freescale's factory was established in the town by Motorola in 1969 to design, manufacture, test and package embedded microchips for use in mobile phones and car engines. | Freescale's factory was established in the town by Motorola in 1969 to design, manufacture, test and package embedded microchips for use in mobile phones and car engines. |
Workers arriving at the East Kilbride plant this morning said news of the closure was not a big surprise. | Workers arriving at the East Kilbride plant this morning said news of the closure was not a big surprise. |
It is a very sad day for the company. Motorola has been in Scotland for a long time Freescale worker One worker, who has been at the plant for 7 years, told the BBC Scotland news website: "This has been on the cards for a while so it's not a huge shock. | It is a very sad day for the company. Motorola has been in Scotland for a long time Freescale worker One worker, who has been at the plant for 7 years, told the BBC Scotland news website: "This has been on the cards for a while so it's not a huge shock. |
"The plant has been up for sale on an estate agent's website for sometime now so people saw this announcement coming." | "The plant has been up for sale on an estate agent's website for sometime now so people saw this announcement coming." |
The man, who didn't want to give his name, said he worked in the engineering unit at Freescale. | The man, who didn't want to give his name, said he worked in the engineering unit at Freescale. |
He said he thought his job was safe for the moment as the cuts would come in the manufacturing department. | He said he thought his job was safe for the moment as the cuts would come in the manufacturing department. |
He added: "I feel very sorry for the manufacturing workers who will lose their jobs. | He added: "I feel very sorry for the manufacturing workers who will lose their jobs. |
"It is a very sad day for the company. Motorola has been in Scotland for a long time. It has a long history here so it's sad to see them pull out." | "It is a very sad day for the company. Motorola has been in Scotland for a long time. It has a long history here so it's sad to see them pull out." |
Another worker from the design division at the East Kilbride site said: "I'm not one of the workers affected by this. Our unit will remain open but it's a huge disappointment for those who work in the factory." | Another worker from the design division at the East Kilbride site said: "I'm not one of the workers affected by this. Our unit will remain open but it's a huge disappointment for those who work in the factory." |
'Veil of secrecy' | 'Veil of secrecy' |
Unite, the union which represents workers at the microchip factory, called on the Scottish Government to include the manufacturing industry in its strategy to save the Scottish economy. | Unite, the union which represents workers at the microchip factory, called on the Scottish Government to include the manufacturing industry in its strategy to save the Scottish economy. |
Jimmy Farrelly, senior industrial officer, said: "This announcement comes as a bitter blow to the workforce at Freescale particularly in the current economic climate. | Jimmy Farrelly, senior industrial officer, said: "This announcement comes as a bitter blow to the workforce at Freescale particularly in the current economic climate. |
"Although the decision comes as no surprise to Unite we have been extremely frustrated by the lack of transparency and the veil of secrecy with which Freescale has operated. | "Although the decision comes as no surprise to Unite we have been extremely frustrated by the lack of transparency and the veil of secrecy with which Freescale has operated. |
"The workforce deserve so much better than this given the hard-work they have shown down the years." | "The workforce deserve so much better than this given the hard-work they have shown down the years." |
He added: "Unite is clear that the Scottish Government must take immediate action to develop a proper strategy for manufacturing in Scotland." | He added: "Unite is clear that the Scottish Government must take immediate action to develop a proper strategy for manufacturing in Scotland." |
The firm makes microchips for use in mobile phones and car engines | The firm makes microchips for use in mobile phones and car engines |
The Scottish Government said: "This is disappointing news and will obviously be a serious blow to the facility's employees and their families. | The Scottish Government said: "This is disappointing news and will obviously be a serious blow to the facility's employees and their families. |
"Freescale has not rushed into this decision - it has been reached at the end of a lengthy process which reflects the particular markets the company operates in." | "Freescale has not rushed into this decision - it has been reached at the end of a lengthy process which reflects the particular markets the company operates in." |
A government spokesman said "every effort" had been made to help the company find an alternative solution. | A government spokesman said "every effort" had been made to help the company find an alternative solution. |
He added: "Until the final closure, we'll continue to try find a future for the site. | He added: "Until the final closure, we'll continue to try find a future for the site. |
"Ministers made that clear in conversations with the senior company executives and Scottish Development International will continue to work closely with the company. | "Ministers made that clear in conversations with the senior company executives and Scottish Development International will continue to work closely with the company. |
"Government will stand ready to do all it can to help anyone who loses their job." | "Government will stand ready to do all it can to help anyone who loses their job." |