Bosch confirms car plant closures in the UK
German manufacturer Bosch today confirmed it is pressing ahead with plans to close a car parts factory in Britain that employs 900 people.
The company said its board agreed to close the plant in Miskin, near Cardiff, by the middle of next year.
Consultation on phasing out production and agreeing redundancy terms will continue until the end of the month with the plant council, unions and the plant management.
The division in charge of the factory, which makes alternators for the motor industry, recommended last month that production be transferred to Hungary and then phased out.
Sales fell by 45% between 2008 and 2009 and were expected to drop a further 65% this year.
Final confirmation of the closure comes despite the offer of help from the Welsh Assembly Government.
First Minister Carwyn Jones and Deputy First Minister Ieuan Wyn Jones discussed the prospects for saving jobs with company bosses in Stuttgart on Monday.
In a statement, Bosch said: “The Bosch Group is currently facing the worst economic downturn for many decades and has been especially hit in the automotive sector.
“In parallel to this, the automotive industry is undergoing major change as core technologies are being completely transformed to accommodate demand for smaller, more fuel-efficient and less polluting vehicles.
“All this has left its mark on the Bosch Group in 2009, which will show a negative operating result for the first time in 60 years.”
Bosch said it agreed with Welsh ministers to look at training to help laid-off workers find new work, potential future uses of the site and the possibility of suppliers delivering to other parts of the group.
The Assembly Government said a series of proposals for help – including developing new product lines and retaining research and development in Wales - were declined by the company.
The First Minister said: “All the way through this process we have pledged our full support to the employees of Bosch.
“This disappointing news is a devastating blow to them and their families.”
He and the Deputy First Minister travelled to Germany to urge the company to keep producing at Miskin, he added.
“While they welcomed the meeting, they indicated their intention to close the site despite us once again offering Assembly Government support.
“We will now work with the company and unions to see what on-site training we can provide for the staff.
“Our objective now is to help those who may be made redundant and see what we can do to support them develop their skills and find new work.
“We will also work with the Welsh supply chain companies as there is the possibility they can continue supplying Bosch despite the Miskin site being closed.”
Deputy First Minister Mr Jones said the coalition administration had done all it could to keep the plant open.
“We have met regularly with Bosch, including this week in Germany, and have been working closely with them over the last few months to look at all the options available to keep the plant running and develop new product lines,” he said.
“So far all of our proposals have been declined and it is unfortunate that they are going ahead with their plans.
“We will now work tirelessly to help the workers and their families through this worrying time.”
