Alexander Dennis job losses in Scotland ‘not a done deal’ as firm urges increase in orders

Alexander Dennis job losses in Scotland 'not a done deal' as firm urges increase in orders

Bosses at the Alexander Dennis bus firm have said the closure of sites at Scotland is 鈥渘ot a done deal鈥. But the company told MSPs that orders for up to 100 buses and changes to regulation are needed before the end of the year. Plans under consultation by the bus firm would close their Falkirk plant and cease production at the nearby Larbert factory, with 400 jobs at risk. The jobs would instead be consolidated at a single site in Scarborough . In evidence to a Holyrood committee, the firm 鈥檚 boss said of the job loss plan north of the border. 鈥淚t鈥檚 absolutely not a done deal, it is a consultation process,鈥 said president and managing director Paul Davies. 鈥淲e鈥檙e very grateful for the active engagement we鈥檝e had from both governments, from other political parties and stakeholders 鈥 we鈥檙e absolutely committed to keeping those conversations going, along with this committee too. 鈥淏ut there are, for us, other implications around the long-term, the runway, is the market dynamic going to change? 鈥淥ur assumptions are, if they don鈥檛 change, we have to take action to look after the company.鈥 But Davies told the committee the firm would need to see consistent orders to help stabilise the future of the business in Scotland . He said this would be around 70 to 100 buses by the end of the year and 300 to 400 for next year. Calls have been made for a furlough scheme to be put in place, with the Government being urged to step in and pay workers until building can begin. At a meeting of the committee this week, trade union bosses estimated such a scheme would cost between 拢4 million and 拢5 million. Davies stressed that for the move to be avoided altogether, there would have to be a shift in the UK market on bus manufacturing to ensure the company could stay in the Forth Valley. 鈥淚t鈥檚 a broader conversation, rather than just saying that an order will stop the consultation process ,鈥 he said. Davies added: 鈥淔rom our perspective, there鈥檚 wider issues. Obviously there鈥檚 conversation around a potential furlough scheme, but that for us is really part of a wider issue around ongoing demand and the issue of reform and the Subsidy Control Act conversations that have been around for some time.鈥 The Subsidy Control Act governs how much state intervention there can be in private business. To sign up to the Daily R ecord Politics newsletter, click here

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