Cammell Laird braced for job cuts
AROUND 100 jobs are at risk at the Birkenhead shipyard Cammell Laird.
The company confirmed that it could shed around 13% of its 780-strong workforce having completed a number of large orders.
It said it had also been affected by the slow recovery of the UK economy but it is continuing to bid for contracts and is “optimistic” of winning orders.
The announcement came as defence giant BAE Systems said it was cutting 1,775 jobs at shipyards in England and Scotland after completing aircraft carrier work.
Cammell Laird, which is a joint venture between its management and the Peel-owned Mersey Docks & Harbour Company, has enjoyed a resurgence in recent years after winning ship repair work and contracts associated with the off-shore wind industry. Staff numbers have more than doubled since 2008.
A spokesman said: “The company has experienced significant growth and has an ambitious growth strategy targeting the emerging markets of renewable energy and civil nuclear. However, due to varying circumstances these opportunities have suffered due to pressure on the global finance markets and the general speed of the UK’s economic recovery.
“As a contracting business we have to respond to the market and order book and be aware of costs to ensure that the company is in a stable financial position to win future contracts. This is the nature of the business. The company manages peaks in demand in an open, professional manner working in partnership with the trade unions, and employment legislation, and remains committed to the workforce and local communities.
“During the last three years we have invested between £30m and £50m into our workforce and supply chain annually. We are also continuing to invest heavily in our apprentice training programme to meet our growth plans. As a result of finishing large orders, we do not have advance guaranteed contracts to sustain the enlarged numbers of personnel. As a consequence around 100 jobs are at risk. The company is continuing to bid for significant opportunities and is optimistic of winning orders.”
Accounts for the year to the end of May 31 show sales rose 26% to £95.2m. Pre-tax profits were up 13% to £10.3m.
