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Siemens factory future in doubt

Doubt hangs over the long-term future of a South Tyneside factory after it was revealed that 80 jobs face the axe, a union leader warned today.

Redundancies are set to hit the switchgear section of Siemens, in Hebburn, following a big downturn in global demand.

The factory was once part of the Reyrolle switchgear site, which employed some 10,000 people in the 1960s.

But Bill Green, regional officer of Unite, fears for the future of the plant, which could be left with just 60 workers.

Mr Green said: “Effectively, about half of the workforce could be lost, at what is a fairly substantial site. If we get down to 60 employees, I think that leaves a question mark over the future viability of the plant.

“And I believe there is potential for up to 90 redundancies at the factory - the numbers could increase, as well as decrease.”

Formal consultation between management and Unite over the redundancies was launched this week.

German-owned Siemens say the planned redundancies are the result of a sharp global decline in the demand for high-voltage gas-insulated switchgear, which is made at the Hebburn plant.

Mr Green understands the redundancies could be phased over several months, stretching into 2010.

Jobs at Siemens’ IT and finance office complex, at Monkton Business Park South, Hebburn, are not affected by the redundancies.

A major employer in North East England, Siemens employs more than 2,500 people in the region in the energy industry sector, with offices in Hebburn, Heaton, Durham and Stockton.

South Tyneside Council says it and its partners are working with Siemens to “develop a package of support to help workers back into new jobs as quickly as possible, should redundancies be confirmed.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .