Thursday, 6 October 2011

Questions remain about Treasury's role in the 3000 job losses at BAe systems.

An article in the FT yesterday - EADS to slow production of Typhoon jets - -  is interesting as it is saying there will be no job losses from our Eurofighter partners in Finmeccanica in Italy or EADS in Germany who are part of the agreed slowdown.

BAe tell me the number of units produced is being reduced from 61 to 36 resulting in the partner companies reducing the numbers of parts required and made from 61 to 36 at all companies. Each company makes one part of the Eurofighter exclusively and swaps it with the others. The article says the reduction is from 53 to 43 but BAe deny this is the slowdown numbers.

These orders are made exclusively by the 4 core nations who have control over production and who have exclusivity over export orders too.

The slowdown agreement with the other core nations seems to have been struck in July by the MoD and Treasury, well before Biz turned down the Lancashire's Enterprise Zone bid for BAe's sites Wharton and Salmesbury. A decision that was reversed last week when the job losses were announced.

Serious questions now need to be asked of the Treasury, Biz and the MoD over the loss of so many British jobs in light of information that is surfacing.

EADS to slow production of Typhoon jets -
EADS will slow the production of Typhoon fighter jets at its German and Spanish factories without cutting any jobs, the aerospace company said on Monday. The news marks a contrast with BAE Systems, which last week said it was laying off almost 3,000