Vestas Wind Systems to close production plants in Scotland

[carola]

Vestas Wind Systems AS is to close production plants in Tasmania and Scotland, newswire RB-Boersen reported, citing the Danish wind turbine producer's chief executive officer, Ditlev Engel.

'We have some bad news for the staff at our two factories, which we must close in order to remain competitive,' Engel told a news conference at which the group's interim earnings report was presented.

The factories are at Wynyard, Tasmania, and Campbelltown, Kintyre, in Scotland.

Both produce nacelles for the wind turbines, and 100 staff will be laid off.

Bad news indeed!!

[4th gen Suthen']

feel sick

[jdcarra]

Vestas Wind Systems AS is to close production plants in Tasmania and Scotland, newswire RB-Boersen reported, citing the Danish wind turbine producer's chief executive officer, Ditlev Engel.

'We have some bad news for the staff at our two factories, which we must close in order to remain competitive,' Engel told a news conference at which the group's interim earnings report was presented.

The factories are at Wynyard, Tasmania, and Campbelltown, Kintyre, in Scotland.

Both produce nacelles for the wind turbines, and 100 staff will be laid off.

Bad news indeed!!

I had to call Vestas this morning to confirm if this was right, and to be told a press release went out yesterday confirming.

The nacelles side of the business will be closing in December with the loss of about half the staff, but the tower production carrying on for some time.

Another knock back to the community.

[Wee Toon Ajax]

Not good news at all for the town, esp when it looked like things were taking a turn for the better

[Jeanette]

Is it possible that the Nacelle side of things is being closed and that the 100 lay offs are Campbeltown and Tasmania combined.

I notice that the initial posting has spelt Campbeltown wrong so maybe the rest of the report is not wholly accurate either.

Time will tell but 40 jobs being lost is a lot for the town and that is sad news

[Bruce]

I notice that the initial posting has spelt Campbeltown wrong so maybe the rest of the report is not wholly accurate either.

I guess the spelling of Campbeltown is quite a common mistake and you'll probably find its just a case of someone not checking it (or probably not even noticing)... and if jdcarra has had it straight from the horse's mouth then it looks like it is accurate!

[Wee Toon Ajax]

Jeanette

Here is a link to what is says in the interim report of Vestas published yesterday

http://www.vestas.com/pdf/news/2006/UK/ ... KUK-39.pdf

see bottom of page 8.

"As previously announced, the production in Spain will be extended with another nacelles
factory. On the other hand, Vestas has decided to close down the production of nacelles in
Tasmania, Australia, and in Campbeltown, Scotland, where the production of towers will,
however, be maintained if the unit's efficiency is increased satisfactorily during the next 12
months."

[petewick]

This is really bad news for the area, and I'm sorry for all the ones who are being made redundant, I've been there myself.
However, there is a sense of de ja vu here, as in Jaeger, once the grant money dries up, these corporate companies ship out.
Again my most profound regards to all those who are losing their jobs.

petewick

[Hels]

Apparently it will be a maximum of 40 in Campbeltown with the rest in Tasmania. Still not good news, but better than the 100 reported. Vestas are going to try to "redeploy" staff where possible, so fingers crossed something can be done.

[petewick]

Spoke to a couple of the guys who are on the list to be paid off, they were saying that it's possible that the tower section may be increasing it's floorspace and will use the nacelle building and could well retain some of the nacelle workers.
Also they were saying that they could relocate to Spain.

petewick

[dedalus]

feel sorry for the workers - but like I said in the earlier thread - its only a matter of time - artificial inward investment is like growing roses in the desert.

hope something turns up for the workers.

[Jeanette]

Wee toon

Thanks for the link.

I have family members who work there and so far their jobs are safe. Four of the workers being made redundant are office staff.

Do you think the lack of ferry facilities will colour any future decisions on whether they eventually stay or go?

[Old Willham]

These companies are experts at this (Motorola, BP et al)......as soon as the grant money runs out they say that the factory is not viable and in the background they are trying to get another bung from the Government in return for keeping at least some production going. Slow lingering death.

[Bobbie En Tejas]

At the end of July, they made a £3.6m contract with E.On UK: http://www.contractorsunlimited.co.uk/n ... E.ON.shtml

I don't know anything about it, but did think it strange that they announced a huge contract just 3 1/2 weeks before they announced they were pulling out. Maybe its apples and oranges, but thought someone might be interested in it.

[dgraves]

The layoffs are terrible anywhere, but it looks like they may be concentrated in Tasmania:

http://www.abc.net.au/news/newsitems/20 ... 723516.htm

If 100 are to be layed off, then 65 will be from the factory in Tasmania. I feel for the poor people there, but I hope it means not so many will lose their jobs in Campbeltown.