First Minister visits Alexander Dennis.
A package has been announced to support the retention of
manufacturing jobs at Alexander Dennis in Scotland.
On a visit to the bus company's site in Larbert, Falkirk, First
Minister confirmed approximately £4
million towards a furlough scheme until work can recommence.
To access this salary support funding, the company will need to
provide evidence of sufficient orders to sustain its operations
in Scotland.
The First Minister said:
“The Scottish Government wants to retain the manufacturing
workforce of Alexander Dennis. My officials have discussed
detailed terms with management and reached agreement on the
principles of a company run furlough scheme.
“To access the Scottish Government funding, the company will need
to provide evidence of orders that will enable its manufacturing
to continue in Scotland. Although the details are
commercially sensitive, I am aware Alexander Dennis is working
hard to do that.
“This is intended to act as a bridge to a sustainable future for
the company in Scotland. During this period, training will also
be offered by Scottish Enterprise.
“It is essential we protect the skilled manufacturing jobs we
need to build our transition to a green industrial economy.”
Alexander Dennis President and Managing Director said:
“We are deeply grateful for the Scottish Government's commitment
to preserving jobs, skills, and industrial capability in the
region.
"This announcement marks a turning point. The Scottish
Government's support allows us to propose a new outcome to our
statutory consultation.
"This has been made possible by collaboration, determination, and
a shared belief in the value and future of domestic
manufacturing.”
Scottish Enterprise Chief Executive Adrian Gillespie said:
“This welcome announcement signals a strong commitment to
supporting and retaining vital Scottish manufacturing
expertise in an important, growing market.
“We've reached this outcome through partnership working at its
best, and I'd like to thank everyone involved for their
dedication. Scottish Enterprise looks forward to working with the
company to build a successful future in Scotland.”
Background
The Scottish Government has been working intensively with
Alexander Dennis, trade unions, the wider public transport sector
and the UK Government to secure the company's future in Scotland.
Alexander Dennis has indicated its belief in its ability to
obtain enough orders to keep manufacturing operations in
Scotland. In a trade union ballot last week, staff voted 85% in
favour of updated terms and conditions for the Scottish
workforce.
The furlough scheme will be administered by Alexander Dennis with
financial support from the Scottish Government.