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| Version 1 | Version 2 |
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| GKN warns it may shed more jobs | GKN warns it may shed more jobs |
| (20 minutes later) | |
| Engineering group GKN has said it has cut 2,800 jobs globally since October and may have to shed more because of the slump in the global car industry. | Engineering group GKN has said it has cut 2,800 jobs globally since October and may have to shed more because of the slump in the global car industry. |
| The UK firm, which supplies carmakers including Land Rover and Ford, said it had cut 242 UK positions so far. | The UK firm, which supplies carmakers including Land Rover and Ford, said it had cut 242 UK positions so far. |
| GKN said all its car part plants were now continuing to work shorter weeks due to the falling demand. | GKN said all its car part plants were now continuing to work shorter weeks due to the falling demand. |
| Car firms are meeting Lord Mandelson later for talks on the government's £2.3bn loan guarantee package. | Car firms are meeting Lord Mandelson later for talks on the government's £2.3bn loan guarantee package. |
| 'Headcount reduction' | 'Headcount reduction' |
| GKN said that its automotive business made a loss in both November and December, and that conditions in the global car industry had continued to decline since then. | GKN said that its automotive business made a loss in both November and December, and that conditions in the global car industry had continued to decline since then. |
| This is another body blow for an already beleaguered engineering industry GMB official Joe Morgan | This is another body blow for an already beleaguered engineering industry GMB official Joe Morgan |
| As a result, it said it was moving ahead with further "selected headcount reduction programmes". | As a result, it said it was moving ahead with further "selected headcount reduction programmes". |
| The Redditch-based firm has four UK factories manufacturing car parts in the West Midlands and Telford, that currently employ 2,000 permanent staff out of a UK total of 6,300. | |
| GKN said 2009's additional job cuts and wider restructuring would cost it an estimated £120m. | GKN said 2009's additional job cuts and wider restructuring would cost it an estimated £120m. |
| "This is another body blow for an already beleaguered engineering industry," said GMB official Joe Morgan. | "This is another body blow for an already beleaguered engineering industry," said GMB official Joe Morgan. |
| "We need to discuss the implications of this on a plant-by-plant basis, and see if there is any scope for government assistance." | "We need to discuss the implications of this on a plant-by-plant basis, and see if there is any scope for government assistance." |
| GKN's announcement comes after almost all of the big car firms have announced cuts in production as a result of a substantial fall in demand. | GKN's announcement comes after almost all of the big car firms have announced cuts in production as a result of a substantial fall in demand. |
| Jaguar Land Rover, to which GKN supplies the main chassis for both the Land Rover Defender and Range Rover Sport models, said earlier this month that it had seen a "severe reduction in demand". | Jaguar Land Rover, to which GKN supplies the main chassis for both the Land Rover Defender and Range Rover Sport models, said earlier this month that it had seen a "severe reduction in demand". |
| The carmaker is also cutting its workforce by 450. | The carmaker is also cutting its workforce by 450. |
| Jaguar Land Rover chief executive David Smith said he did not expect sales to return to normal levels "for some time". | Jaguar Land Rover chief executive David Smith said he did not expect sales to return to normal levels "for some time". |
| Government support | Government support |
| The UK government has now moved to try to assist the country's car sector. | The UK government has now moved to try to assist the country's car sector. |
| Business Secretary Lord Mandelson on Tuesday outlined a package of government support for the UK car industry potentially worth up to £2.3bn. | Business Secretary Lord Mandelson on Tuesday outlined a package of government support for the UK car industry potentially worth up to £2.3bn. |
| The package includes a scheme to unlock £1.3bn of loans from Europe for car manufacturers and major suppliers. | The package includes a scheme to unlock £1.3bn of loans from Europe for car manufacturers and major suppliers. |
| He said the government would also guarantee up to £1bn of further loans. | He said the government would also guarantee up to £1bn of further loans. |
| Lord Mandelson is now due to meet car industry leaders to discuss the finer details. | Lord Mandelson is now due to meet car industry leaders to discuss the finer details. |
| However, the Conservatives said the European loans had already been announced last year. | However, the Conservatives said the European loans had already been announced last year. |
| In addition to making car parts, GKN supplies components to the aerospace industry. | In addition to making car parts, GKN supplies components to the aerospace industry. |
| In September last year GKN bought Airbus' Filton plant in Bristol - which makes wing parts for Airbus planes - for £136m. | In September last year GKN bought Airbus' Filton plant in Bristol - which makes wing parts for Airbus planes - for £136m. |
| Its total global workforce totals 42,000. | Its total global workforce totals 42,000. |