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Quinton Hazell, Mochdre and Lancaster: 196 jobs to go at car parts factories | Quinton Hazell, Mochdre and Lancaster: 196 jobs to go at car parts factories |
(35 minutes later) | |
Nearly 200 job losses have been announced at two car parts factories in Conwy and Lancashire. | Nearly 200 job losses have been announced at two car parts factories in Conwy and Lancashire. |
A total of 79 staff at Quinton Hazell in Mochdre, were told by administrators KPMG their jobs were going with immediate effect. | A total of 79 staff at Quinton Hazell in Mochdre, were told by administrators KPMG their jobs were going with immediate effect. |
Another 117 jobs are going at the firm's Glasson Dock plant in Lancaster. | Another 117 jobs are going at the firm's Glasson Dock plant in Lancaster. |
KPMG blamed "prolonged, challenging trading conditions". The Unite union said the speed of the closure had left workers feeling "angry and anxious". | |
Workers were sent home early on Wednesday after KPMG were appointed to handle the affairs of the plant's Manchester-based parent company Klarius. | Workers were sent home early on Wednesday after KPMG were appointed to handle the affairs of the plant's Manchester-based parent company Klarius. |
A small number of workers are remaining at the plants to help with the winding up process. | A small number of workers are remaining at the plants to help with the winding up process. |
Unite Wales regional industrial officer John Hamilton said: "We had been in talks with the company prior to this announcement but they have moved from having 24 redundancies on the table to insolvency in the space of just a week." | |
He added that management "should have had greater engagement and been more honest with the union and the workforce at a much, much earlier stage". | |
"Our members and employees across the site have been left feeling very frustrated, angry and anxious by the speed at which the insolvency action has hit and the immediate outcome." | |
Paul Flint, joint administrator and restructuring partner at KPMG, said: "Despite extensively marketing the Glasson Dock (Lancaster) and Colwyn Bay sites to potential buyers we were unable to find a buyer and have taken the difficult decision to wind them down." | Paul Flint, joint administrator and restructuring partner at KPMG, said: "Despite extensively marketing the Glasson Dock (Lancaster) and Colwyn Bay sites to potential buyers we were unable to find a buyer and have taken the difficult decision to wind them down." |
He added that "prolonged challenging trading conditions in the automotive parts sector had an impact on Quinton Hazell's performance". | He added that "prolonged challenging trading conditions in the automotive parts sector had an impact on Quinton Hazell's performance". |
As a result this had created "cash-flow pressures" which in turn had affected the company's ability to trade as a going concern, he said. | As a result this had created "cash-flow pressures" which in turn had affected the company's ability to trade as a going concern, he said. |
Clwyd West MP David Jones visited the Mochdre plant a few months ago. | Clwyd West MP David Jones visited the Mochdre plant a few months ago. |
"The factory has a troubled recent history but I was hopeful that it was now in a stable financial position," he said. | "The factory has a troubled recent history but I was hopeful that it was now in a stable financial position," he said. |
"I have written to the administrator and will continue to take a close interest in the situation as it develops." | "I have written to the administrator and will continue to take a close interest in the situation as it develops." |
The Lancashire plant was making exhausts and catalytic converters. | The Lancashire plant was making exhausts and catalytic converters. |
The factory near Colwyn Bay, founded by the late Eric Quinton Hazell after World War II, made 120 workers redundant in 2007. | The factory near Colwyn Bay, founded by the late Eric Quinton Hazell after World War II, made 120 workers redundant in 2007. |
Production of clutches was transferred to Warwickshire, with remaining staff making water pumps. | Production of clutches was transferred to Warwickshire, with remaining staff making water pumps. |
Meanwhile, the closure of the Sogefi Filtration factory in Llantrisant, Rhondda Cynon Taf, was confirmed at the end of a 90-day consultation with the 190 workers, say unions. |