Ford to axe up to 750 jobs at Dagenham

14:30 25 October 2012

Redundancies: The stamping plant is to close with the loss of up to 750 jobs next year

Redundancies: The stamping plant is to close with the loss of up to 750 jobs next year

Archant

Ford is to close its Dagenham stamping plant next year with the loss of up to 750 staff, the car giant confirmed today.

Up to 3,250 jobs will be safeguarded in the Dagenham engine plant, which will start to mak new low carbon emission engines from 2016.

The announcement came on the day the country officially came out of a double-dip recession.

Ford said it was moving to shut the stamping and tooling facility in Chequers Lane in a bid to tackle the “severe and persistent economic crisis” on European markets.

The car maker expects to make a loss of at least $1.5billion within its European division this year.

Ford of Europe chief executive Stephen Odell said: “We have to act quickly and decisively to address the collapse in consumer demand in Europe today and position Ford for profitable growth tomorrow.

“The European market holds potential for profitable growth if we accelerate product development and move decisively to address our costs and overcapacity.”

Today, the car maker also confirmed it planned to shut a 4,300-staff plant in Genk, Belgium, and its 500-staff factory in Southampton, ending 100 years of vehicle production in the UK.

The Dagenham stamping plant makes panels for cars and vans and employs 750 staff, a Ford spokesman said.

Around 4,000 employees work on the Dagenham estate in total.

Ford bosses said combined engine output at Dagenham was to remain around one million.

Mark Stephens, Unite rep at the stamping plant, said he feared for the worst ahead of the announcement yesterday.

Mr Stephens, 49, told the Post : “We tend to take a pessimistic view. We’ve been hit so many times in the UK.”

The car maker said today’s announcement sought to address manufacturing overcapacity triggered by a 20 per cent drop in vehicle demand in Western Europe since 2007.

Ford bosses hope the redundancies can be achieved voluntarily.

A spokesman said: “Ford’s goal is to achieve employee reductions in the UK through voluntary means, enhanced employee separation programs and redeployment to other Ford locations.”

A spokesman said the car maker was expected to make a profit overall on world markets this year.

Sign up for our news alerts today!

Our editors' picks for the day's top news delivered to your inbox or phone.

Sign up for email alerts Sign up for mobile alerts
1
2 3 4 5 6
7

Latest business news

Friday, March 27, 2015
Kboard

Thought phone buttons were hard work? Now people who can’t be bothered to use a touchscreen either can streamline their conversations with a new app.

Sunday, March 22, 2015
Fabric club in Charterhouse Street

Police issue warning about bad batch of MDMA at Farringdon club threatened with closure last year.

Thursday, March 19, 2015
Tunnelling breakthrough at Liverpool Street 'station box'

Tunnelling work in London’s long-awaited Crossrail ‘super tube’ construction is now more than nine-tenths complete.

Monday, March 16, 2015
Fire damage at what is thought to be Loungelover in Shoreditch - London Fire Brigade

Candles left lit inside a doll’s house have been blamed for a fire that caused damage to the ground floor and roof of a Shoreditch nightclub on Friday morning.

Wednesday, March 11, 2015
Broadband speeds in some parts of London are shocking (Photo by Michael Bocchieri/Getty Images)

Say goodbye to streaming Netflix, downloading music or a spot of online gaming if you live on this street in Brixton - which has officially the slowest broadband in central London.

Friday, March 6, 2015
The creators say phones offer 'amazingly more intimate experiences' and want to get users away from their computers (Picture: Spark/Dan Ross)

A new dating app to rival Tinder allows passengers on the Tube who share that brief moment to act on that spark and find love on the Underground.

The lights went off and the cameras came out.

Call it the X Factor, star quality, even ‘something’ but whatever ‘it’ is Ed’s not got it, says the PM.

The Ukip leader doesn’t want to be too scripted for the seven-way televised encounter.

London Bloggers

Tuesday, February 3, 2015
[Photograph by John Phillips/PA Wire]

Often referred to as a melting pot, London is a city renowned for its rich blend of cultures.

Monday, December 22, 2014
Around 25 per cent of the population self-identity as having no religion yet still enjoy the fun of Christmas (Photo by Oli Scarff/Getty Images)

It’s Christmas time. We know this by the light-adorned streets, the mobility hazard posed by boxes of Quality Street, Roses and Celebrations in every supermarket’s entrance and, of course, the incessant radio-plays of Mariah Carey’s All I Want for Christmas Is You.