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Alexander Dennis job losses in Scotland 'not a done deal' as firm urges increase in orders

Alexander Dennis job losses in Scotland 'not a done deal' as firm urges increase in orders

Daily Record4 days ago

The bus firm said orders for up to 100 buses and changes to regulation are needed before the end of the year.
Bosses at the Alexander Dennis bus firm have said the closure of sites at Scotland is 'not a done deal'.
But the company told MSPs that orders for up to 100 buses and changes to regulation are needed before the end of the year.

Plans under consultation by the bus firm would close their Falkirk plant and cease production at the nearby Larbert factory, with 400 jobs at risk.

The jobs would instead be consolidated at a single site in Scarborough.
In evidence to a Holyrood committee, the firm 's boss said of the job loss plan north of the border.
'It's absolutely not a done deal, it is a consultation process,' said president and managing director Paul Davies.
'We're very grateful for the active engagement we've had from both governments, from other political parties and stakeholders – we're absolutely committed to keeping those conversations going, along with this committee too.
'But there are, for us, other implications around the long-term, the runway, is the market dynamic going to change?
'Our assumptions are, if they don't change, we have to take action to look after the company.'

But Davies told the committee the firm would need to see consistent orders to help stabilise the future of the business in Scotland.
He said this would be around 70 to 100 buses by the end of the year and 300 to 400 for next year.
Calls have been made for a furlough scheme to be put in place, with the Government being urged to step in and pay workers until building can begin.

At a meeting of the committee this week, trade union bosses estimated such a scheme would cost between £4 million and £5 million.
Davies stressed that for the move to be avoided altogether, there would have to be a shift in the UK market on bus manufacturing to ensure the company could stay in the Forth Valley.
'It's a broader conversation, rather than just saying that an order will stop the consultation process,' he said.
Davies added: 'From our perspective, there's wider issues. Obviously there's conversation around a potential furlough scheme, but that for us is really part of a wider issue around ongoing demand and the issue of reform and the Subsidy Control Act conversations that have been around for some time.'

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