Brexit uncertainty a factor as Schaeffler to shut two UK sites with loss of 500 jobs
A MANUFACTURING firm is to close two sites in the UK, with uncertainty surrounding Brexit given as one factor behind the decision.
Automotive and industrial supplier Schaeffler said the sites in Plymouth and Llanelli will close within two years.
It is understood that up to 500 jobs could be affected.
The German-owned company said production will be relocated to the United States, China, South Korea and Germany.
The company, which employs just over 1,000 workers in the United Kingdom, said its biggest site in Sheffield will be retained in its current form. Work at two
logistics centres, in Hereford and Sutton Coldfield, will be combined at the former site.
Juergen Ziegler, Schaeffler’s regional chief executive, Europe, said: “A global business needs to regularly review market conditions and strive to optimise its footprint across different regions.
“The proposed measures we have taken for the UK reflect this business reality.
“However, we remain committed to keeping certain activities in the UK, a country that will continue to be important to us.
“Brexit is clearly not the single decisive factor behind our decision-making for the UK market, but the need to plan for various complex scenarios has brought forward the timing.”
Greig Littlefair, managing director of Schaeffler UK, said: “We are committed to having transparent and fair discussions with the employees affected by these proposals.”