Rolls-Royce to cut jobs
Rolls-Royce has announced it will cut 9,000 jobs from its workforce of 52,000 employees to offset the impact of Coronavirus. Most of the cuts are expected to be at the company’s Derby site in the UK.
As part of a proposal for major reorganisation of the company, Rolls-Royce will also cut expenditure across plant and property, capital and other indirect cost areas, expecting to generate annual savings of over £1.3bln.
‘This is not a crisis of our making. But it is the crisis that we face and we must deal with it,’ says Warren East, CEO of Rolls-Royce. ‘Our airline customers and airframe partners are having to adapt and so must we.
‘Being told that there is no longer a job for you is a terrible prospect and it is especially hard when all of us take so much pride in working for Rolls-Royce. But we must take difficult decisions to see our business through these unprecedented times.
He adds, ‘We have to do this right, which means we will work closely with our employee and trade union representatives as appropriate, look at any viable alternatives to mitigate the impact, consult with everyone affected and treat our people with dignity and respect.’
The company states that the proposed reorganisation will affect their civil aerospace business, where detailed reviews of the company’s facility footprint takes place. It will also have implications on central support functions.
IOM3 CEO Colin Church comments in response, ‘The announcement of job losses at Rolls-Royce is deeply saddening and worrying for employees and their families. The Coronavirus pandemic has hit the aerospace industry with one of the hardest blows seen in its history. IOM3 is ready to support our members through this crisis.
‘The IOM3 Members Benevolent Fund can offer support (including financial support) to IOM3 members, former members, employees and former employees, and their immediate families, who are in need.
‘In addition, advice on gaining professional accreditation/CPR to help bolster CVs for those looking for work is freely available – enrolment on one of our workshops is a useful starting point. IOM3 will be holding various workshops throughout June and July, visit www.iom3.org/registration-workshops.