Aircraft engine maintenance firm GE Aviation Wales has confirmed plans to shed 100 jobs at its Nantgarw base.
The firm, part of the US-owned General Electric Company, employs a highly-skilled workforce of around 1,350 people.
It has blamed a fall in the number of engines being sent to the plant for maintenance and will be looking for 100 voluntary redundancies.
In a statement HR leader for GE Aviation Wales, Chris Doherty said: “GE Aviation Wales develops an annual business plan for the site based upon the forecasted volume of engine shop visits. For 2015, current data shows a significant drop in engine volume requirements compared to 2014 and 2013.
“Taking this into account, we are currently evaluating ways in which we can right size the business to accommodate this reduction. We are therefore considering a range of options, including tighter controls around overtime, review of the current shift arrangements and the possibility of a voluntary redundancy programme for Aircraft Engineer grade employees.
“Over the coming weeks, the company along with Unite representatives will be reviewing the 2015 business plan against these options to determine how we may implement one or more of these programmes in order to address our current business challenges.
“Based on our projections, if we were to progress with a voluntary redundancy programme, we would not anticipate reducing our overall headcount by more than 100 employees. Details of any redundancy programme would be the subject of consultation with Unite representatives prior to any final decision being made.
“We remain committed to continuing an open dialogue with our workforce and to providing information and advice to support our employees.”
GE Aviation Wales specialises in the overhaul, repair and maintenance of a range of aircraft engines and has over 90 customers worldwide. It has a turnover of £1.5 billion and is considered by the Welsh Government to be an “anchor company”.
A Welsh Government spokesperson said: “This is disappointing news and a result of uncertainty in the global economy. GE continues to play an important role as an anchor company and as a key employer in the local area.”
Caerphilly AM Jeff Cuthbert said he would be meeting with company bosses on Friday to discuss the situation.
He said: “I will be meeting with the management of GE this Friday to discuss any potential job losses at the plant. GE Aviation employs staff from a wide geographical base and it’s likely that employees who could be affected will live in the Caerphilly constituency.
“Naturally I will be trying to see what can be done to stave off potential job losses and to offer assistance to any constituents that find themselves affected.”
Not surprising at all. The place services GE engines but its location is no where near where planes using GE engines are. It’s costly to transport engines so far on a lorry when a service centre could be nearer the airport.
Now, I know someone here will mention BAMC at Cardiff Airport, this is a fair point but most BA aircraft serviced there have Rolls Royce engine. Only the 773’s and some 772’s have GE engines whereas all 747’s, most 777’s, 767’s, and A380’s have RR engines. One company cannot keep the factory open. Also, lots of airlines do in-house engineering eliminating the need for sites like GE South Wales.