EFFORTS to prevent redundancies at Weardale’s biggest employer have been unsuccessful with 30 workers facing losing their jobs.
In February, Astrum (UK) Limited, based in Stanhope, County Durham, announced it might have to make 55 staff redundant and started consultations.
Since then, 24 workers have left through voluntary redundancy and natural reduction and the other redundancies were not implemented, giving hope they may be avoided.
But with no improvement in the forward order book, the company yesterday announced it is to start new consultations with the workforce on 30 redundancies, taking the total to that originally announced in February.
Alternatives such as shorttime working and voluntary redundancies are under consideration.
Dave Telford, of the Unite union, which represents workers at the plant, said: “It is disappointing for the members, devastating. We very much hope we can avoid compulsory redundancies.
“We are beginning consultations on redundancies on Tuesday.
“Obviously, we hope to mitigate any job losses and look at alternatives we can explore.”
Phil Kite, managing director of Astrum (UK), said: “Unfortunately, the global downturn affecting almost all commercial markets has had an effect on even the best-run businesses and no one is immune from the fall in demand.
“We recognise the impact these job losses will have on our employees and the communities in which we operate, and we are looking to mitigate the impact by voluntary redundancies and exploring short-time working.
“Looking to the future, we are confident that we are bestplaced to win the available new commercial business both during the recession and when there is an upturn in the economy.”
The engineering company, which employs 261 staff, operates in the defence and earthmoving equipment markets.
Its defence sector work is holding up well, but its commercial business, based upon earthmoving and intermodal transportation, has been affected by the downturn in the construction industry.
County councillor John Shuttleworth, who represents Weardale, said: “The Government needs to get to grips with unemployment in rural areas.
“It forces people to move away from such areas and take their children out of the schools, and also takes money out of the local economy with the knock-on effect that that has.”
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