Job Cuts for 1,700 Workers at Remploy
8 March 2012
The employment services provider will have to make over 1,700 redundancies due to reduced funding from the Government.
The Government has announced that it will reduce its funding for Remploy as soon as possible so that funding can be used to support more disabled people into mainstream employment.
Remploy is a Government-owned and subsidised company set up after the Second World War to provide a sheltered environment for people with disabilities. It has grown to become the country's largest specialist employer of disabled people.
The firm's first factory, at Bridgend, Wales, is among those under threat. Others include branches in Bolton, Bristol, Leeds, Manchester, Poole and Swansea.
This has resulted in the Remploy Board having to propose some significant changes, including the closure of 36 of its 54 factories, that have been deemed commercially unviable, and as many as 1,752 redundancies.
Minister for Disabled People Maria Miller says: “I recognise that this announcement will be difficult news for the staff in Remploy factories and understand that they have will have concerns about the future. As part of collective consultation, the Remploy Board will consider all proposals to avoid compulsory redundancy.”
She said the £320m budget for disability employment has been protected and the money will be spent more effectively.
Unions reacted angrily to the proposals, which will be under consultation.
Phil Davies, national officer of the GMB, described the plans as "one of the worst decisions that this discredited coalition Government has taken".
Kevin Hepworth, Unite's national officer, added: "GMB and the other trade unions in Remploy will not stand by and allow this attack to go unanswered."
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