Philips to close UK child bottle manufacturing facility post-Brexit with a whole lot of jobs in danger | Enterprise Information

Philips has introduced plans to close a UK manufacturing facility with the potential lack of 430 jobs, months after expressing worries a couple of attainable hit from Brexit.

The Dutch healthcare firm mentioned it aimed to shut its Philips Avent child bottle plant at Glemsford in Suffolk in 2020 and switch a lot of the work to its house nation.

It burdened the potential for a ‘no-deal’ Brexit was not the first think about its choice, regardless of the corporate’s chief govt Frans van Houten warning late final 12 months it could need to “rethink” its manufacturing operations.

He had mentioned sustaining a customs union was a “minimal” requirement for the corporate.

The choice was introduced lower than 48 hours after Theresa Might’s Brexit deal was closely defeated by MPs – prompting enterprise teams and Labour to demand {that a} no-deal exit was now taken off the desk.

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Philips primarily blamed the closure of its solely manufacturing plant within the UK on a programme, began in 2017, to consolidate its websites globally from 50 to 30.

Nonetheless, its assertion added: “Philips must pro-actively mitigate the potential impression of assorted ongoing geopolitical challenges, together with uncertainties and attainable obstructions that will have an effect on its manufacturing operations.

“Philips has due to this fact been reconfiguring its provider base and provide chains in North America, Europe and Asia as acceptable.

“The flexibleness related to its regional, multi-modality manufacturing websites is essential to those mitigation actions.”

The corporate mentioned the first focus at Glemsford was the manufacturing of 1 product for export.

Philips at the moment employs a complete of 1,500 folks within the UK and sources indicated funding would proceed in its different pursuits, together with its improvement operations.

The employees affected by the closure are being consulted over redundancy.

Neil Mesher, chief govt of Philips UK & Eire, mentioned: “I recognise that our proposed plan may have a profound impression on our colleagues working on the Glemsford website, and our manufacturing presence within the UK.

“We’ve got introduced the proposal after cautious consideration, and over the subsequent interval, we are going to work carefully with the impacted colleagues on subsequent steps.

“Philips has a protracted, established historical past of serving prospects throughout the UK, and we stay dedicated to them.

“The UK is a crucial marketplace for us, and we are going to proceed to put money into our industrial organisation and innovation programmes within the nation.”

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