Defence cuts knock Morson
TECHNICAL recruitment specialist Morson Group has been hit by cutbacks at BAE Systems and the Government’s decision to scrap the Nimrod spy plane.
The Salford firm supplies staff to BAE Systems’ sites across the region including Woodford near Stockport where the Nimrods were being built.
In November BAE announced 1,300 job cuts in response to the cancellation of the Nimrod programme and the early withdrawal from service of the Harrier fleet.
In a trading update the company said: “There has understandably been an impact of these announcements on the contractors supplied to our client in connection with these projects. Over the last few weeks we have seen reductions at Woodford, Cottesmore and Warton sites.
“There are also further less significant reductions through the first quarter of 2011 at these sites as programme levels are wound down and internal resource reallocated.”
AIM-listed Morson, which supplies skilled blue collar staff to sectors such as nuclear and power and aerospace and defence, said it is seeking to redeploy workers to other jobs such as helicopter and aircraft carrier projects and London’s Crossrail scheme.
Despite changes at BAE the company said it offers a sufficiently broad range of services to meet market expectations for the full-year and benefit from any upturn in trading conditions. The firm is due to report full-year figures in March.
