The factory’s situation has previously been analyzed and a cost-efficiency plan was issued. This stated that the site’s production would be reduced, with a 300 job loss programmed for the current year. The factory was supposed to continue production at a decreased level.
However, the recommendation was denied and the aforementioned decision was adopted instead. The production will be relocated to Hungary.
The background for this might be the fact that the Bosch Group is expecting to register an operating loss for 2009 - the company’s first negative result of this kind in 60 years.
“I deeply regret we could not find a solution for the Cardiff plant," said Bosch group starter motors and generator (SG) division chief, Stefan Asenkerschbaumer.
“This is for me, one of the toughest decisions in my career - however, with my responsibility for the whole SG division, the economic situation in the market leaves me no other choice.” he added.
According to just-auto, The company will meet union representatives in order to discuss redundancy terms.
Recently, more and more automotive parts manufacturers have been affected by the recession. Earlier today we reported that Michelin would no longer continue operations at its Ota plant in Japan, a decision which will lead to 380 job losses. However, company executives have promised to offer affected workers new jobs among the company.
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