Hamilton engineering company to shed 150 jobs

Feb 4 2010 by Alastair McNeill, Hamilton Advertiser

AROUND 150 jobs are expected to go at an engineering company’s Lanarkshire premises.

Babcock Rail, based at Hamilton International Technology Park, are cutting jobs after running up huge losses in 2008/09.

The company employs around 1200 people across the UK, around 650 of whom are based at Kintail House, Blantyre.

A total of 300 jobs are anticipated to go across the company’s UK operations.

The job losses follow a review of the business which focused on “improving value for shareholders and customers”.

Babcock Rail lost £6million in the last financial year. In 2007/08, they made a profit of £500,000.

Chief Executive of Babcock Rail Division, John Howie, said this week: “Our business transformation plan is designed to make the business fit for the future.

“We very much regret that jobs will be lost, but our new structure will make the rail division a stronger organisation, providing greater stability for the future and for the majority of our people who will stay in the business.”

Babcock Rail Division provides track, signalling, power, telecommunications and plant.

A spokesman for the company said earlier this week: “The new structure will align the size of the workforce with the current and anticipated workload and reduce the management team.

“We are reducing our workforce by up to 300 across the UK and have initiated a consultation process with staff.

“It is anticipated that job losses will be split approximately 50/50 across operations north and south of the border, subject to the consultation process.

“The plans include a slimmed-down management team, together with reductions in operational areas and a number of corporate support functions.

“Babcock intends that a new structure will be fully in place within six months.”