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Plant closures mean 420 job cuts | Plant closures mean 420 job cuts |
(40 minutes later) | |
A manufacturing company has closed two factories with immediate effect, with the loss of 420 jobs. | A manufacturing company has closed two factories with immediate effect, with the loss of 420 jobs. |
The Simclar Group - an electronic components manufacturer - has closed its sites in Irvine and Kilwinning. | The Simclar Group - an electronic components manufacturer - has closed its sites in Irvine and Kilwinning. |
In a statement, the Scottish firm said it had been unable to remain competitive due to pressure from low cost economies and falling orders. | In a statement, the Scottish firm said it had been unable to remain competitive due to pressure from low cost economies and falling orders. |
The company, which is based in Dunfermline, also blamed uncertainty in the manufacturing sector. | The company, which is based in Dunfermline, also blamed uncertainty in the manufacturing sector. |
Simclar (Ayrshire) will now be placed in administration. | Simclar (Ayrshire) will now be placed in administration. |
'Impossible' situation | 'Impossible' situation |
Staff were told of the closure at a morning meeting with management. | Staff were told of the closure at a morning meeting with management. |
A Simclar spokesman said: "The current market conditions have made the continued operation of Simclar (Ayrshire) impossible. | A Simclar spokesman said: "The current market conditions have made the continued operation of Simclar (Ayrshire) impossible. |
"Simclar has made every attempt to restructure and save the business but it would not be in the best interests of the group as a whole to continue to do so in the long-term. | "Simclar has made every attempt to restructure and save the business but it would not be in the best interests of the group as a whole to continue to do so in the long-term. |
"The company will work with the local enterprise and employment agencies to offer information and support to those affected by this closure in their search for new employment." | "The company will work with the local enterprise and employment agencies to offer information and support to those affected by this closure in their search for new employment." |
Local MP Brian Donohoe said news of the job losses was a great shock. | |
He said: "Naturally this is a real hit for the constituency but I am confident it will not undermine its established reputation as a favourable business location." | |
Simclar Group has facilities in Europe, the US, Mexico and China and employed about 1,800 people worldwide. | Simclar Group has facilities in Europe, the US, Mexico and China and employed about 1,800 people worldwide. |
The group said its site in Dunfermline, where 300 workers are employed, would continue to operate. | The group said its site in Dunfermline, where 300 workers are employed, would continue to operate. |