Alexander Dennis extends redundancy consultation for Scottish workers
The Finance Secretary welcomed the move, which she said would provide more time for the bus manufacturer to explore all options to save the jobs.
In a letter to Holyrood's Economy and Fair Work Committee, Shona Robison said: 'In a positive development, as you may be aware, ADL (Alexander Dennis Limited) have written to inform the Scottish Government that they have extended the consultation period to provide more time to explore all viable options to retain their hardworking staff and facilities at Falkirk and Larbert.
'This welcome decision is a good sign of collaborative working.'
Appearing before the committee last week, the company said the closure of the Scotland sites was 'not a done deal'.
But managing director Paul Davies said orders for up to 100 buses and changes to regulation are needed before the end of the year.
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Mr Davies said the firm would need to see consistent orders made to help stabilise the future of the business in Scotland.
Asked how many orders the firm would need this year, he said it would be about 70-100 buses by the end of the year and 300-400 for next year.
But even if the orders come, there will be a lag before work can begin on manufacturing to allow for design and the acquisition of materials.
In her letter to the committee, Ms Robison said the Scottish Government is working 'tirelessly' to find a solution for the company's 400 workers in Scotland, 'and is maintaining close contact with the company, the unions and the UK Government to understand all options to support the workforce'.
She told MSPs the English double-decker bus market was 'very critical' for Alexander Dennis, due to the country's larger population than Scotland.
She said: 'Local transport authorities and mayoral combined authorities in England must consider the impact of their purchasing decisions on domestic manufacturers, and it is important that the UK Government publishes a future pipeline of orders as soon as possible.'
She added: 'The Scottish Government is urgently examining options to provide greater confidence regarding short-term demand for bus manufacturing in Scotland.
'This exploration includes consideration of what can lawfully be done to provide support to the bus manufacturing industry in line with procurement and subsidy control rules.'
She said officials had met with the company to discuss a potential future furlough scheme, which the firm would offer to avoid compulsory redundancies.
'We are in discussions with ADL on the potential for the Government to support the company's scheme for a defined period,' she said.
'Officials from both Governments continue to meet regularly on the above matters, through a joint Scottish Government/UK Government working group, which met for the fourth time on June 30.
'Meetings are also taking place between myself and ADL, as well as with Unite and GMB.
'I hope that this update makes clear the importance we have placed on a co-ordinated response.
'We will continue the engagement with UK Government and press them to provide clarity on a number of issues. We will provide a further update in due course.'
Last week, staff at Greenfold Systems, a Fife manufacturing plant that supplies parts to Alexander Dennis, were told 90 jobs were at risk of redundancy.
The company said it was the result of plans announced by the bus manufacturer – one of Greenfold's major customers – to close its Scottish sites.
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