NEARLY 1,400 jobs are being cut in the United Kingdom and globally at engine maker, Rolls-Royce, as it continues to swing the axe under a plan to reduce its workforce by 9,000.
The Derby-based group confirmed proposals to cut around 950 jobs worldwide in its civil aerospace division and about a further 420 across its global facilities.
It said the job losses came as part of the 9,000 revealed in May under a major reorganisation as demand for aircraft, and the engines it manufactures, slumped in the face of the pandemic.
Around two-thirds of the firm’s UK employees work in the civil aerospace division.
A Rolls-Royce spokesman said, “The global pandemic has hit our business hard.
“Although we have taken swift action and put many, often painful, mitigation plans in place, we must continue to further reduce our cost base so that we can safeguard the future of Rolls-Royce, return to breakeven and work towards our target of reaching positive cashflow in the second half of 2021.
“We are already undertaking the largest-ever restructuring of our civil aerospace business and have today proposed further measures to protect our business.”
He added, “We have opened up a voluntary severance programme to all civil aerospace employees in the UK.”
It’s the latest cutback from the engine maker since the start of the pandemic.
In August, the company said it intended to close its Annesley plant in Nottinghamshire by the end of 2022 and transfer the 120 affected staff to its main base in Derby.
Rolls-Royce first hinted at restructuring plans in May, after warning 9,000 jobs were at risk due to a significant fall in demand sparked by the coronavirus crisis.
It said it needed to make £1billion in cash savings.
“We expect a reduction of over 17 per cent of our workforce, equivalent to more than 9,000 roles across the Group worldwide, including approximately 8,000 in our Civil Aerospace business which we are reducing by about a third to adapt to the new level of market demand we are expecting,” a statement said.
– mirror.co.uk
