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Disability firm to close 43 sites Disability firm to close 43 sites
(about 2 hours later)
A firm which employs disabled people has unveiled cost-cutting plans to close 43 factories across Britain.A firm which employs disabled people has unveiled cost-cutting plans to close 43 factories across Britain.
A total of 32 of Remploy's 83 factories will close and a further 11 will merge with other sites.A total of 32 of Remploy's 83 factories will close and a further 11 will merge with other sites.
Remploy wants to place more disabled people into mainstream employment. It says no disabled person will be made compulsorily redundant. Remploy says no disabled person will be made compulsorily redundant. It wants to place more people into mainstream employment.
Unions have called for the sites to stay open and criticised six disability charities who have backed the closures. Unions called for the sites to stay open and criticised six disability charities who have backed the closures.
Remploy said 2,270 disabled people and 280 non-disabled workers were affected by the changes, which will affect factories in England and Scotland and Wales. Remploy said 2,270 disabled people and 280 non-disabled workers were affected by the closures in England and Scotland and Wales.
However, the firm said anyone who wished to continue working would be able to do so.However, the firm said anyone who wished to continue working would be able to do so.
Managers of Remploy, which employs 5,000 disabled staff, met union leaders in London.Managers of Remploy, which employs 5,000 disabled staff, met union leaders in London.
'Change needed''Change needed'
Bob Warner, Remploy's chief executive, told a news conference the company's factories were losing around £100m a year.Bob Warner, Remploy's chief executive, told a news conference the company's factories were losing around £100m a year.
He said every job in a Remploy factory cost more than £20,000 to support and for the same money it could place four people in mainstream jobs.
We feel frustrated and totally betrayed by the company and the government Les WoodwardRemploy worker Remploy has 60-year history
Remploy said it had an "ambitious" programme to transfer resources from loss-making factories to support more than 20,000 workers in mainstream employment.Remploy said it had an "ambitious" programme to transfer resources from loss-making factories to support more than 20,000 workers in mainstream employment.
Mr Warner said: "We have a great opportunity to help more disabled people find jobs. Mr Warner said every factory job cost more than £20,000 to support and for the same money it could place four people.
"But we have to change how we work in all areas of Remploy. We feel frustrated and totally betrayed by the company and the government Les WoodwardRemploy worker class="" href="/1/hi/uk/6680067.stm">Remploy has 60-year history
"We have a great opportunity to help more disabled people find jobs," he said. "But we have to change how we work in all areas of Remploy.
"There is now an acceptance that disabled people would prefer to work in mainstream employment alongside non-disabled people rather than in sheltered workshops from which they do not progress and develop.""There is now an acceptance that disabled people would prefer to work in mainstream employment alongside non-disabled people rather than in sheltered workshops from which they do not progress and develop."
He said even after the closures it will cost around £9,000 to subsidise each factory job and he could not guarantee there would be no further closures.He said even after the closures it will cost around £9,000 to subsidise each factory job and he could not guarantee there would be no further closures.
Union angerUnion anger
The scale of the closures was worse than unions were expecting and sparked warnings of a national strike.
Phil Davies, national officer for the GMB union, said "We do not accept this level of closures and we will fight to maintain the current factory network.Phil Davies, national officer for the GMB union, said "We do not accept this level of closures and we will fight to maintain the current factory network.
"The trade unions do not accept the financial arguments that have been put forward and we are concerned at the way the company has conducted itself in the last few weeks, including leaking information to the media.""The trade unions do not accept the financial arguments that have been put forward and we are concerned at the way the company has conducted itself in the last few weeks, including leaking information to the media."
Mr Davies also accused six charities which have supported closure plans of acting in a "despicable manner". Mr Davies also accused six charities which had supported closure plans of acting in a "despicable manner".
Mencap, Mind, Radar, Scope, Leonard Cheshire and the Royal National Institute of Deaf People have said disabled people were more likely to have fulfilling lives by working in an "inclusive environment".Mencap, Mind, Radar, Scope, Leonard Cheshire and the Royal National Institute of Deaf People have said disabled people were more likely to have fulfilling lives by working in an "inclusive environment".
Mr Davies said unions will now consult with their members but he raised the prospect of a national industrial action ballot across all workers at the 83 factories. Mr Davies said unions will consult their members but he raised the prospect of a national industrial action ballot across workers at the 83 factories.
Set up in 1945, Remploy receives £111m in government subsidy every year. Modernise
Minister for Disabled People, Anne McGuire, said the government had committed over half a billion pounds to Remploy over the next five years to help it modernise and employ more disabled people.Minister for Disabled People, Anne McGuire, said the government had committed over half a billion pounds to Remploy over the next five years to help it modernise and employ more disabled people.
"I understand the concerns that Remploy's proposals will raise for some employees. However, I have already given an undertaking that there will be no compulsory redundancies for disabled employees.""I understand the concerns that Remploy's proposals will raise for some employees. However, I have already given an undertaking that there will be no compulsory redundancies for disabled employees."
Ms McGuire added she was pleased the company proposed an "unprecedented support package" which included the same levels of pay and pensions to help employees through the transition. A group of Remploy workers protesting outside the news conference. held banners saying "save our factories".
A group of Remploy workers protested outside the London hotel where the news conference was held. Les Woodward, a disabled worker based in Swansea, said: "We feel frustrated and totally betrayed by the company and the government.
They held banners saying "save our factories" and shouted they wanted to keep their jobs.
Les Woodward, a disabled worker based in Swansea, south Wales, said: "We feel frustrated and totally betrayed by the company and the government.
"This has come as a complete shock to us all - we did not expect such decimation. They have declared war on us.""This has come as a complete shock to us all - we did not expect such decimation. They have declared war on us."
The following Remploy factories will close: Aberdare, Aberdeen, Abertillery, Aintree, Ashington, Bradford, Bridgend, Brixton (London), Halifax, Hartlepool, Hillington (Glasgow), Hull, Leatherhead, Leicester, Lydney (Forest of Dean), Manchester, Mansfield, Medway, Pinxton (Derbyshire), Plymouth, Poole, St Helens, Southend, Spennymoor, Stockton, Treforest, Wigan, Wisbech, Wishaw (Lanarkshire), Worksop, Wrexham and York.The following Remploy factories will close: Aberdare, Aberdeen, Abertillery, Aintree, Ashington, Bradford, Bridgend, Brixton (London), Halifax, Hartlepool, Hillington (Glasgow), Hull, Leatherhead, Leicester, Lydney (Forest of Dean), Manchester, Mansfield, Medway, Pinxton (Derbyshire), Plymouth, Poole, St Helens, Southend, Spennymoor, Stockton, Treforest, Wigan, Wisbech, Wishaw (Lanarkshire), Worksop, Wrexham and York.
The following factories will merge with another site: Barnsley, Birkenhead, Brynamman, Jarrow, Newcastle-under-Lyme, Pontefract, Redruth, Southampton, Stockport, Woolwich (London) and Ystradgynlais.The following factories will merge with another site: Barnsley, Birkenhead, Brynamman, Jarrow, Newcastle-under-Lyme, Pontefract, Redruth, Southampton, Stockport, Woolwich (London) and Ystradgynlais.
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