JCB plans to cut 950 jobs

Aaron Morby 1 year ago
Share

JCB has put 950 jobs are at risk at its UK plants after demand for its machines has halved due to the coronavirus crisis.

The plant maker has written to UK employees today to advise that the staff roles are under threat at its 10 plants in Staffordshire, Derbyshire and Wrexham.

Around 500 agency employees are also being released from the business.

JCB CEO Graeme Macdonald today said the decision to restructure JCB’s business had been extremely tough but that the company “had no choice but to take difficult decisions to adapt to this new economic reality”.

“In 2020 we had planned to sell and produce over 100,000 machines. With so much global uncertainty, that figure right now is looking more like 50,000 machines,” he said.

“In the UK, around 85% of everything we manufacture is exported and our UK factories will now produce machines at half the rate we had planned just a few months ago.

“No business could have anticipated the scale of the COVID-19 crisis and its economic consequences. JCB has had to act quickly for the long-term survival of the business, which has been at the heart of our decision-making throughout this difficult period.”

JCB currently employs around 6,700 people in the UK, including agency employees.

A 45-day consultation over the proposed JCB job losses will begin on Monday, when discussions with staff representatives will start.

The vast majority of JCB’s employees are currently furloughed until the end of May after production at UK factories stopped in March in the wake of the COVID-19 crisis.

Macdonald added: “The Government’s taxpayer-funded Job Retention Scheme, which was a temporary measure that has seen most UK employees furloughed since the beginning of April, was never going to be capable of sustaining employment at companies having to face such reduced levels of demand.”

Latest plant news

On-board breaker takes suction excavator to new level

Specialist manufacturer cracks problem with world first design innovation
2 weeks ago

Construction plant shortages start to bite

Smaller excavator delivery dates being pushed to 2022
3 months ago

Laing O’Rourke joins switch to electric cars

Plan to transition 1,000-car fleet to all-electric by 2025
5 months ago

JCB to hire 400 agency workers in production push

Demand for machines has rebounded sharply in Europe and North America
5 months ago

Strong trading lifts hirer P Flannery revenue to £116m

Revenue soars to record high for fast-growing plant hirer
5 months ago

Plant hire firm plans £33.8m tourism development

Perthshire site will see construction of hotel, lodges and transport museum
5 months ago

New pothole machine delivers road repairs four times faster

JCB Pothole Pro machine can repair a pothole in under eight minutes and at half the cost of a road gang
5 months ago

Wernick acquires Robert Purvis Plant Hire’s portable accommodation fleet

Wernick boosts presence in Scotland
6 months ago

Plant hirer fined £220k after crane nearly hits apprentice

Court hears how apprentice forced to leap for his life
6 months ago

JCB launches electric telehandler and dumper

Stand-alone rapid charger unit also unveiled to support E-Tech range
7 months ago

City Hire expands guaranteed tool hire service

Equipment delivery time guarantee extended beyond London
8 months ago
City Hire

Three sisters set-up plant hire business

Finnegan sisters buy first kit after securing funding deal
8 months ago

Fox Bros snaps up north west hirer Clive Hurt

North West haulier and earthworks contractor now on the hunt for bigger jobs
9 months ago

Speedy trials electric taxis as tool delivery vans

Converted red taxicabs can carry two pallets up to 800kg
9 months ago

Major plant hirer Vp sees revenues rebound

Hire revenues back to 80% of pre-Covid level
11 months ago

Flannery trials first electric tele at HS2 site

Skanska Costain Strabag JV to roll out more machines across HS2
12 months ago

Tower crane lifts end long climb to work for operators

Laing O'Rourke trials mast climbing lifts for tower crane operators at London site
12 months ago

JCB powers up first hydrogen fuelled digger

JCB in race to lead the world on hydrogen-powered plant
12 months ago

Self driving plant to be standard on road jobs by 2035

Highways England launches 15-year plan for a 'digital revolution'
1 year ago

JCB switches to online sales for first time

Micro, mini excavators and one tonne dumpers can now be bought online
1 year ago

JCB plans to cut 950 jobs

JCB chief warns furlough scheme was never going to be enough to cope with demand halving
1 year ago

New trainee plant operator scheme ready to launch

Industry and client-led apprenticeship will help to train next generation of operators
1 year ago

JCB resumes production at five UK factories

Thermal imaging cameras to be used in factories to ID workers with fevers
1 year ago

Plant theft soars as construction sites close

Thieves taking advantage of coronavirus impact to steal site equipment
1 year ago

JCB reopens factory to start building ventilators

Plant giant will fabricate steel control panel housings for Dyson designed ventilators
1 year ago

Ritchie switches to virtual plant auctions

Maltby auction this week will take online bids only
1 year ago

Plans to scrap red diesel rebate delayed

Chancellor delays plan for two years and will listen to industry lobbying for exemption
1 year ago

A-Plant name to disappear from construction

Plant hire group Ashtead adopts Sunbelt Rental brand for UK
1 year ago

Budget plan to scrap red diesel rebate to cost £490m a year

Fury over 'green tax' to end fuel rebate for construction
1 year ago

Emergency plan to clear plant skills card backlog

Scheme owner NOCN issues public apology and vows to get CPCS back on track
1 year ago

Contractor services