GONDA
Honda ‘set to close Swindon factory by 2020 putting 3,500 jobs at risk’
The car maker produces more than 100,000 Civic cars at Swindon, which is the company's only factory in the EU
HONDA is set to announce the closure of its factory in Swindon, putting 3,500 jobs at risk, according to sources.
The Japanese car maker produces more than 100,000 Civic cars at Swindon, which is the company's only factory in the EU.
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A Honda spokesperson didn't want to confirm or deny the reports when contacted by The Sun, but the plans could be announced as early as tomorrow morning, according to .
A source close to Honda told Sky News the company is expecting to close its plant in Swindon in 2022, although the company will keep its European headquarters in Bracknell in Berkshire, as well as its Formula One racing team operations in the UK.
The reports suggested the decision comes due to Brexit uncertainty, but the car maker has also suffered from an industry-wide drop in diesel car sales.
A spokesperson for Honda said: "At this point, we are not able to make any comments regarding the speculation.
"We take our responsibilities to our people very seriously and will always communicate any significant news with them first."
North Swindon MP Justin Tomlinson, said Honda's decision to close its Swindon plant is based on "global trends and not Brexit".
He tweeted: "Robert Buckland and I have already spoken to the Business Secretary and Honda.
"They are clear this is based on global trends and not Brexit as all European market production will consolidate in Japan in 2021."
Last week, Honda said it would be axing around 500 temporary jobs at the factory.
Justin Tomlinson, Conservative MP for North Swindon, wrote on Twitter that he had spoken to Honda, and said support would be given to "all staff".
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Honda has manufactured vehicles in Swindon for more than 30 years, and said last year that it was committed to UK-based production regardless of the outcome of Brexit negotiations.
"The UK forms part of our global network of manufacturing plants, so the only place we produce the vehicle we produce at Swindon is in Swindon itself," Ian Howells, Honda Europe's senior vice-president, told the BBC in September.
"The logistics of moving a factory the size of Swindon would be huge and as far as we're concerned, we're right behind supporting continued production at Swindon."
Your rights if you're made redundant
IF you're being made redundant, you may be eligible for the below, according to GOV.UK.
- Redundancy pay: If you've been working for your current employer for at least two years, you're usually entitled to a statutory redundancy pay.
- A notice period: According to redundancy law, you’re entitled to a minimum notice period of 12 weeks’ if employed for 12 years or more, at least one week’s notice if you have been employed between one month and two years, or one week’s notice for each year if employed between two and 12 years. If your employer doesn’t want you to work your notice period they can offer you a lump sum instead.
- A consultation with your employer: Employers always have to consult with employees before dismissing them on the grounds of redundancy. In short, your employer must tell you what’s going on and give you a chance to ask questions and raise objections.
- The option to move into a different job: Your employer might offer you "suitable alternative employment" within your organisation or an associated company. Keep in mind that you may lose your right to statutory redundancy pay if you unreasonably turn it down.
- Time off to find a new job: If you’ve been continuously employed for two years, you could be given a reasonable amount of time off to look for another job or to arrange training to help you find another job.
Commenting on the reports, Martin Lane, managing editor of comparison website Money.co.uk, said: "It’s distressing news for Honda employees and their families, especially as Honda’s leaving staff in limbo over their fate by not commenting on the matter.
"This will have a huge impact on individuals, but also the local area as a whole. Those who fear they could lose their jobs should hope for the best but prepare for the worst.
"Sadly this is a hard blow to Britain’s car industry, and I doubt it will be the end of the redundancies this year."
More on money
More high street jobs are on the horizon this year as brutal conditions saw 150,000 jobs lost in 2018.
Earlier this year, Jaguar Land Rover and Ford announced plans to cut thousands of jobs, blaming uncertainty surrounding Brexit and a lack of demand for diesel vehicles.
Energy supplier nPower also plans to axe 900 jobs this year due to the energy price cap.
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