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Some jobs will be eliminated at Oxford’s Mini plant after the car manufacturer announced that it would reduce its paint rate due to declining demand for new cars.
The Cowley plant, which manufactures the Mini Hatchback and the new electric Mini-E, with a drop of 3 to two crews in mid-October as a result of the hit to vehicle sales through the coronavirus pandemic.
The 400 cuts will be the staff of the firm hired through Gi Group, adding another 950 people at the plant, which employs about 4,000 people in total.
More task losses in the automotive industry: Mini will eliminate 400 firm tasks in September, showed today
Bosses said in a statement that they had tried to protect as many jobs as possible, but that due to a “substantial” drop in visitor calls in recent months, it would reduce their workforce.
Like all other British car manufacturers, BMW owners were forced to close the Oxford plant at the end of March while the country was blocked.
Production resumed in Cowley on May 18, with the logo celebrating the structure of more than 11,000 Mini E models in a year at the end of July.
However, with the drop in car registrations starting in March, officials said the brand volume forecast for 2020 had to replace as a result, a reduced gear replacement scheme on site.
Staff who lose their job will be notified in September.
The bosses stated that there would be “clear evidence” as to who will be held, duration of service, individual competencies and disciplinary background.
In a statement, Bob Shankly, Director of Human Resources at Mini UK, said: “The Covid-19 pandemic has had a very extensive effect on the call of visitors and, like other automakers, our volume forecast for 2020 has had to be replaced accordingly.
The 400 cuts will be the staff of the firm hired through Gi Group, adding another 950 people to the plant, which employs about 4000 people in total.
Mini said he was forced to reduce his paint rate at the plant from 3 to two due to falling demand for new cars from Covid-19. Production resumed after the closure on May 18, with the logo celebrating the structure of more than 11,000 Mini Es (pictured) in a year last month.
“So we took the difficult resolution of adjusting our painting schedules at the MINI plant in Oxford from October.
This will give us the flexibility we want to adapt our production in the short to medium term, in line with adjustments in global markets.
“Our resolution was taken after a close discussion with trade union representatives and we are aware that our projects will have an effect on others during a moment of doubt and concern.
“We have sought as many jobs as possible, while taking the necessary measures to ensure the stability of our company in light of this existing era of volatile and unpredictable market conditions.”
Mini, the third largest BRITISH car manufacturer in the UK last year, generated a total of 221,928 vehicles, according to official records.
Production fell by 5.2% from last year, and UK production as a total fell to its lowest point in almost a decade in 2019.
In the first part of 2020, car production in the UK fell by 43% due to the pandemic, and the Society of Motor Manufacturers and Traders said the sector had cut more than 11,000 jobs amid the coronavirus crisis.
Aston Martin, Bentley and McLaren were the newest to announce task cuts in the UK.
The latter announced in May that it would eliminate 1,200 jobs from its 4,000 workers after being “severely affected” by the coronavirus pandemic.
A month later, Aston Martin announced that he would cut up to 500 jobs as a component of a primary restructuring and Bentley would have reduced his in Crewe to 1000.
The Cowley factory dates back more than a century, with cars built since 1913
Mini, the third largest British car manufacturer in the UK last year, generated 221928 cars in total, according to official records.
Although demand for new cars was higher in July, registrations in the first seven months of the year decreased by 41% than at the same time in 2019, according to the industry agency.
Anneliese Dodds, the shadow chancellor and DEPUTY of Oxford East, and Secretary Susan Brown, director of The City Council of Oxford, responded to the news that there would be jobs at the Oxford plant next month.
“BMW’s Oxford plant has been the scene of wonderful innovations, with advances like the new Electric Mini,” they said in a joint statement.
“We are very saddened to be informed of the effect of the global economic crisis (caused by the Covid-19 pandemic) at the Oxford plant.
“In fact, we regret and get involved in being informed that there would possibly be loss of tasks and wish to express our deepest condolences to the staff and their families most affected at this difficult time.
“Although the plant is very productive, unfortunately, the Covid-19 crisis has posed situations of great demand for automotive and the ills that afflict internationals are also affecting the plant here.
“We will continue to work with BMW Cowley to do what we can to ensure the long term of the plant and protect local jobs.
The Cowley factory dates back more than a century, with cars built since 1913.
BMW took the Oxford plant in 2001 when it bought the rights to the Mini logo and produced the 3 generations of the new Mini there for more than 19 years.
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