HONDA has confirmed that it will close its factory in Swindon with 3,500 jobs facing the chop.
The Japanese car giant blamed the move on a switch to focus on electric vehicles, following an industry-wide drop in diesel car sales rather than Brexit uncertainty.
Swindon is the firm’s only factory in the EU, where it produces 100,000 Civic cars, and it plans to shut down the plant by 2021.
It will keep its European headquarters in Bracknell, Berkshire, as well as its Formula One racing team operations in the UK.
A spokesperson for Honda said the global car industry is facing “unprecedented changes” forcing the brand to refocus in “regions where it expects to have high production volumes.”
North Swindon MP Justin Tomlinson, emphasised Honda’s decision to close its Swindon plant is based on “global trends and not Brexit”.
He tweeted: “Robert Buckland and I have already spoken to the Business Secretary and Honda.
“They are clear this is based on global trends and not Brexit as all European market production will consolidate in Japan in 2021.”
Honda has manufactured vehicles in Swindon for more than 30 years, and said last year that it was committed to UK-based production regardless of the outcome of Brexit negotiations.
Business Secretary Greg Clark today warned that getting a Brexit deal as soon as possible was key for trade.
He told a conference organised by union Make UK – the new name for EEF – that the workforce at Swindon would be supported.
“I’m not going to pretend to an audience of manufacturers that this is anything other than a very bitter blow,” he said.
Mr Clark added: “Our message to everyone affected by Honda’s closure is that we value intensely your skills, we completely understand the challenges you face and we will do everything we possibly can to support every single person in the community, in the workforce, in the supply chain to make sure their skills and ingenuity can find expression and application in the years ahead.
Rebecca Long Bailey, shadow business secretary, said it was “devastating” and that the Government has “failed to create an environment of business confidence”.
Your rights if you're made redundant
IF you're being made redundant, you may be eligible for the below, according to GOV.UK.
- Redundancy pay: If you’ve been working for your current employer for at least two years, you’re usually entitled to a statutory redundancy pay.
- A notice period: According to redundancy law, you’re entitled to a minimum notice period of 12 weeks’ if employed for 12 years or more, at least one week’s notice if you have been employed between one month and two years, or one week’s notice for each year if employed between two and 12 years. If your employer doesn’t want you to work your notice period they can offer you a lump sum instead.
- A consultation with your employer: Employers always have to consult with employees before dismissing them on the grounds of redundancy. In short, your employer must tell you what’s going on and give you a chance to ask questions and raise objections.
- The option to move into a different job: Your employer might offer you “suitable alternative employment” within your organisation or an associated company. Keep in mind that you may lose your right to statutory redundancy pay if you unreasonably turn it down.
- Time off to find a new job: If you’ve been continuously employed for two years, you could be given a reasonable amount of time off to look for another job or to arrange training to help you find another job.
Last week, Honda said it would be axing around 500 temporary jobs at the factory but fierce rumours circulating yesterday suggested more redundancies were on the table.
One member of staff who found out about the closure today said he was “devastated”.
Martin Lane, managing editor of comparison website Money.co.uk, slammed the move as “distressing” for Honda employees and their families.
He added: “This will have a huge impact on individuals, but also the local area as a whole. Those who fear they could lose their jobs should hope for the best but prepare for the worst.
“Sadly this is a hard blow to Britain’s car industry, and I doubt it will be the end of the redundancies this year.”
The Sun says
OUR minds boggle that the same Remoaners who claim Brexit was sold on “lies” now falsely blame it for Honda leaving Swindon.
They even dispute the car giant’s own bosses bluntly and repeatedly spelling out that it “is not related to Brexit”.
It simply MUST be. They need it to be.
The facts, though, are that Japan no longer needs to make cars in Europe because the EU trade deal it has finally signed will cut its export tariffs to zero.
Hence its Turkish plant closing too.
Meanwhile the UK factory has struggled for years, making far fewer cars than it once did, with sales falling and the war on diesels forcing Honda to refocus on electric vehicles.
It is vital that Government incentives and a low-tax economy lure another big employer to Swindon to prevent these devastating and traumatic job losses.
But it is grim to see some Remainers concerned only with weaponising them against Brexit, while sniggering that the Wiltshire town voted Leave.
More on money
More high street jobs are on the horizon this year as brutal conditions saw 150,000 jobs lost in 2018.
Earlier this year, Jaguar Land Rover and Ford announced plans to cut thousands of jobs, blaming uncertainty surrounding Brexit and a lack of demand for diesel vehicles.
Energy supplier nPower also plans to axe 900 jobs this year due to the energy price cap.
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