400 jobs at risk as bus maker plans shutdown of Scottish sites
Alexander Dennis, which has factories in Falkirk and Larbert, has said it is considering moving all operations to a site in Scarborough.
The plans would see work at the Falkirk site discontinued, while the Larbert site would be closed after current contracts are completed.
The company, which manufactures single and double decker buses, said the new proposed structure would lower costs and increase efficiency.
Alexander Dennis president and managing director Paul Davies said: "We must take significant action to drive efficiency to allow our operating model to be competitive.
"It is extremely regrettable that as part of this, we must place jobs at potential risk of redundancy and propose to cease manufacturing operations at some of our facilities."
He said the firm, which is now owned by Canadian parent company NFI Group, was extremely proud of its history and legacy in the UK which dates back to 1895.
But he said that change was needed to encourage customers to invest in UK-based manufacturing.
He continued: "The stark reality is that current UK policy does not allow for the incentivisation or reward of local content, job retention and creation, nor does it encourage any domestic economic benefit."
The consultation puts up to 400 roles at Alexander Dennis at potential risk of redundancy, around 22% of the company's whole workforce.
The company employs 1,850 people in the UK, with its biggest plant in Larbert.
Deputy First Minister Kate Forbes said the government had "engaged extensively" with the company in recent weeks in an attempt to mitigate the need for redundancies.
She said: "This will be a hugely worrying time for the workforce at Alexander Dennis, their families and the wider community.
"The Scottish government will continue to explore any and all options throughout the consultation period to allow the firm to retain their hard-working employees and manufacturing and production facilities at Falkirk and Larbert."
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