Car manufacturer Nissan has announced it is to axe about a quarter of the workforce at its Sunderland plant.
Car manufacturer Nissan has announced it is to axe about a quarter of the workforce at its Sunderland plant.
The company, which sent workers at the site home early before Christmas to cope with the economic downturn, said it will cut 1,200 jobs.
The company, which sent workers at the site home early before Christmas to cope with the economic downturn, said it will cut 1,200 jobs.
The plant, which opened in 1986, employs about 4,900 workers.
The plant, which opened in 1986, employs about 4,900 workers.
The firm halted manufacturing of two of its models at the Sunderland site in December and sent production staff home on full pay.
The firm halted manufacturing of two of its models at the Sunderland site in December and sent production staff home on full pay.
'Devastating news'
'Devastating news'
Those to lose their jobs include 400 staff on temporary contracts.
Those to lose their jobs include 400 staff on temporary contracts.
Derek Simpson, joint general secretary of the Unite union, said: "This is devastating news for the workers and their families.
Derek Simpson, joint general secretary of the Unite union, said: "This is devastating news for the workers and their families.
"Today's announcement shows just how serious Britain's economic difficulties are.
"Today's announcement shows just how serious Britain's economic difficulties are.
"Unite will be doing everything possible to minimise compulsory redundancies and it is absolutely crucial that these workers' skills are not lost."
"Unite will be doing everything possible to minimise compulsory redundancies and it is absolutely crucial that these workers' skills are not lost."
Nissan sold 66,336 new cars in the UK in 2008 - only 0.14% fewer than in 2007.
Nissan sold 66,336 new cars in the UK in 2008 - only 0.14% fewer than in 2007.
Voluntary basis
Voluntary basis
However, its sales for December 2008 fell 26.68% compared with the same month in 2007. This compared with a average decline across the industry of 21.2%.
However, its sales for December 2008 fell 26.68% compared with the same month in 2007. This compared with a average decline across the industry of 21.2%.
A statement from Nissan said: "Nissan has notified the Local Works Council and the Unite union of its intention to reduce overall production headcount by around 1,200.
A statement from Nissan said: "Nissan has notified the Local Works Council and the Unite union of its intention to reduce overall production headcount by around 1,200.
"The statutory consultation period will determine how best to adjust permanent headcount, but it is hoped that this can be managed on a voluntary basis."
"The statutory consultation period will determine how best to adjust permanent headcount, but it is hoped that this can be managed on a voluntary basis."
Business Secretary Lord Mandelson said everything would be done to help the Wearside workforce.
Tough time
"I appreciate that this will be a tough time for workers.
"Together with One NorthEast, we will help any employee find alternative opportunities as quickly as possible.
"We will also be working with Nissan to secure new investment for Sunderland and to make sure that the UK is best placed for the upturn and re-creation of jobs as the economy improves", Lord Mandelson said.
A year ago 800 jobs at the Sunderland plant were created in response to demand for its new Qashqai model.
A year ago 800 jobs at the Sunderland plant were created in response to demand for its new Qashqai model.
The job cuts announced on Thursday were made at the same time Nissan in Japan unveiled a new £107,000 luxury sports car, which it said was a bargain compared with European rivals.
The job cuts announced on Thursday were made at the same time Nissan in Japan unveiled a new £107,000 luxury sports car, which it said was a bargain compared with European rivals.
Have your been affected by issues covered in this story? Are you a Nissan employee? Send us your comments using the form below.
Have your been affected by issues covered in this story? Are you a Nissan employee? Send us your comments using the form below.
