A MAJOR Llanelli employer is to shed almost a quarter of its employees following what it describes as a ‘significant drop-off in sales’.
Calsonic Kansei, based says that continuing political and economic uncertainty have contributed to its decision to lay off 95 workers at its Lleithri Road factory on the outskirts of the town.
Calsonic were offered £4.4m from the Welsh Government to create 88 jobs at the plant late last year.
Llanelli’s local AM, Lee Waters, the Welsh Government’s Deputy Minister for the Economy and Nia Griffith MP issued a joint statement about the jobs blow.
Lee Waters AM said “Nia Griffith and I will be doing what we can to work with the company, trade unions and other employers in the area to help the workers directly affected. And the Welsh Government will be extending the taskforce helping workers at Schaeffler to offer practical support.”
“Calsonic were offered significant Welsh Government help to develop new products at the end of last year, and we will continue to do what we can to help create a sustainable future for the site, through what is clearly a troubling period.”
Nia Griffith MP said “The next month will be a difficult period for the workers and their families at Calsonic, both Lee and I are ready to do whatever we can to help anyone affected. Alongside working directly with the factory staff and the trade unions, I’ll be using my voice in Parliament to ask the UK Government to match Welsh Government’s ongoing commitment to the plant and the workforce.”
Calsonic’s vice-president of HR for Europe, Neil O’ Brien, said: “The automotive industry is at a transitional stage, as well as being at a key point in several major vehicle ‘life cycles’, with car manufacturers developing their technologies to satisfy the ever demanding environmental legislation and moving towards autonomous and electric vehicles.
“During this period of transition, the added pressures of market instability caused by the political and economic conditions have affected our customers’ volumes and, consequently, Calsonic Kansei’s sales have seen a significant drop.
“The company intends to do everything reasonably possible to reduce the impact of this proposal on its employees.”
In January Schaeffler announced plans to close its plant in Leave-voting Llanelli with a loss of 200 skilled jobs.
Schaeffler also cited uncertainty about the UK’s economic and political future as being partially responsible for its decision.
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