DRAKA CABLES
UK production site to close / Strategic review of manufacturing capacity / 200 job losses
Prysmian Cables & Systems (Milan / Italy; www.prysmian.com) is planning to close one of the UK cable manufacturing plants of its subsidiary Draka Cables (Derby / UK; www.drakauk.com). The Derby site of Draka has been producing industrial cables for over 80 years but is now scheduled for closure, with the loss of up to 200 jobs. The proposed shutdown follows a group-wide review by Prysmian of its manufacturing capabilities following its acquisition of Draka (Amsterdam / Netherlands: www.draka.com) in February 2011 - see Plasteurope.com of 30.11.2010. A 90-day consultation period is underway with staff at Derby, with the plant slated for closure by the end of the year.
Currently Prysmian has UK manufacturing facilities at Aberdare, Bishopstoke, Derby, Washington and Wrexham. The strategic review showed there was significant overlap in capability, so Derby is proposed for closure, with manufacturing capacity to be concentrated on the other three facilities. Recruitment opportunities will be available at all three sites. Prysmian is also closing a UK distribution centre in Rugby.
In a statement, Prysmian said: “We very much regret that this proposal is necessary. However, the company believes this action is essential in order to protect and sustain the future of our UK business.”
Prysmian Cables & Systems, the erstwhile Pirelli, is a leading global player in the industry for high-technology cables and systems for energy and telecommunications, with sales of EUR 7 bn. It has 98 plants in 50 countries, with some 22,000 employees. It claims to be market leader in the UK in the supply of energy and telecommunications cables, plus accessories, for both low and high voltages.
Earlier this month, Prysmian Group was awarded a record contract worth EUR 800m – the highest value ever awarded in the cable business – for the development of a new submarine, high-voltage, direct-current interconnector between Scotland and England. The Western HVDC Link interconnection is strategic for the upgrade of the transmission grid in the UK and will connect renewable generation sources in Scotland to consumption centres in England. It will be 400 km in length.
Currently Prysmian has UK manufacturing facilities at Aberdare, Bishopstoke, Derby, Washington and Wrexham. The strategic review showed there was significant overlap in capability, so Derby is proposed for closure, with manufacturing capacity to be concentrated on the other three facilities. Recruitment opportunities will be available at all three sites. Prysmian is also closing a UK distribution centre in Rugby.
In a statement, Prysmian said: “We very much regret that this proposal is necessary. However, the company believes this action is essential in order to protect and sustain the future of our UK business.”
Prysmian Cables & Systems, the erstwhile Pirelli, is a leading global player in the industry for high-technology cables and systems for energy and telecommunications, with sales of EUR 7 bn. It has 98 plants in 50 countries, with some 22,000 employees. It claims to be market leader in the UK in the supply of energy and telecommunications cables, plus accessories, for both low and high voltages.
Earlier this month, Prysmian Group was awarded a record contract worth EUR 800m – the highest value ever awarded in the cable business – for the development of a new submarine, high-voltage, direct-current interconnector between Scotland and England. The Western HVDC Link interconnection is strategic for the upgrade of the transmission grid in the UK and will connect renewable generation sources in Scotland to consumption centres in England. It will be 400 km in length.
27.02.2012 Plasteurope.com [221675-0]
Published on 27.02.2012