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| Ford to cut 1,400 car jobs in Southampton and Dagenham | |
| (35 minutes later) | |
| Carmaker Ford has announced plans to close two UK plants with the loss of 1,400 jobs. | |
| Its Southampton Transit van factory and the stamping plant at Dagenham, Essex, will shut, with union sources saying the job losses could reach 2,000. | Its Southampton Transit van factory and the stamping plant at Dagenham, Essex, will shut, with union sources saying the job losses could reach 2,000. |
| Ford said it planned to close the plants next year. | Ford said it planned to close the plants next year. |
| The news came a day after Ford said it had started consultations on closing its factory at Genk in Belgium with the loss of 4,300 jobs to cut costs. | The news came a day after Ford said it had started consultations on closing its factory at Genk in Belgium with the loss of 4,300 jobs to cut costs. |
| The firm told the unions it was looking to close the Genk factory, which makes the Mondeo and S-Max models, in 2014. | The firm told the unions it was looking to close the Genk factory, which makes the Mondeo and S-Max models, in 2014. |
| 'Persistent crisis' | |
| Ford said it hoped to achieve the job losses through voluntary redundancies and redeployments. | |
| "We will address the crisis in Europe with a laser focus on new products, a stronger brand and increased cost efficiency," said Ford boss Alan Mulally. | "We will address the crisis in Europe with a laser focus on new products, a stronger brand and increased cost efficiency," said Ford boss Alan Mulally. |
| "We recognise the impact our actions will have on many employees and their families in Europe, and we will work together with all stakeholders during this necessary transformation of our business." | "We recognise the impact our actions will have on many employees and their families in Europe, and we will work together with all stakeholders during this necessary transformation of our business." |
| Ford said the decision to close the plants was taken "against a backdrop of the severe and persistent economic crisis in Europe", which had seen demand for cars in Western Europe drop by 20% since 2007 and car sales in the region hit a 20-year low. It predicted a loss for Ford Europe of more than $1.5bn (£930m) in 2012. | |
| 'Disgraceful' | |
| Ford's plan to close the two plants is part of its efforts to revive its loss-making European division, rather than a reflection of the efforts and quality of its UK workforce. | |
| Car sales in Europe have slumped during the eurozone crisis, and Ford expects the weakness to persist. | |
| Demand for commercial vehicles such as the Transit has also fallen as many of its business customers are in difficulty. | |
| Ford says it is eager to scale back its manufacturing capacity to match demand, a logic that might please investment analysts but will do little to comfort those whose jobs are on the line. | |
| The Unite union said the plant closures could lead to the loss of up to 2,000 jobs at Ford, with production of the Transit van moving to Turkey. | The Unite union said the plant closures could lead to the loss of up to 2,000 jobs at Ford, with production of the Transit van moving to Turkey. |
| "Ford has betrayed its workforce and its loyal customer base," said the union's general secretary Len McCluskey. | "Ford has betrayed its workforce and its loyal customer base," said the union's general secretary Len McCluskey. |
| "Unite is going to fight these closures. This announcement has been handled disgracefully. | "Unite is going to fight these closures. This announcement has been handled disgracefully. |
| "Only a few months ago Ford was promising staff a new transit model for Southampton in 2014. The planned closures will really hurt the local economies and the supply chain will be badly hit - up to 10,000 jobs could be at risk." | "Only a few months ago Ford was promising staff a new transit model for Southampton in 2014. The planned closures will really hurt the local economies and the supply chain will be badly hit - up to 10,000 jobs could be at risk." |
| The GMB union said 1,000 jobs would be going at Dagenham. | The GMB union said 1,000 jobs would be going at Dagenham. |
| "This is devastating news for the workforce in Southampton and Dagenham. It's also devastating news for UK manufacturing," said the union's national officer, Justin Bowden. | "This is devastating news for the workforce in Southampton and Dagenham. It's also devastating news for UK manufacturing," said the union's national officer, Justin Bowden. |
| "Ford's track record in Britain is one of broken promises and factory closures." | "Ford's track record in Britain is one of broken promises and factory closures." |
| Some new posts will be created at the Dagenham engine plant, which will build Ford's new Panther engine, reports say. | Some new posts will be created at the Dagenham engine plant, which will build Ford's new Panther engine, reports say. |