UK military giant BAE Systems announces to cut 2,000 jobs
British weapons and military equipment manufacturer BAE Systems has announced plans to cut about 2,000 jobs, largely due to the weaker demand for Hawk and Eurofighter Typhoon fighter planes.
"To ensure production continuity at competitive costs... and based on the profile of currently contracted and expected aircraft deliveries, actions continue to be taken to reduce the group's current Typhoon and Hawk production rates," the military equipment maker said in a statement on Tuesday.
"As a result, the group has today announced a proposal to reduce the workforce of the military air and information business by up to 1,400 roles,” it noted.
There will be cutback in BAE's military, maritime and intelligence services divisions, the statement said.
The job cuts will affect five sites over the next three years, including Warton and Samlesbury in northwestern England, where Eurofighter Typhoon warplanes are assembled.
About 375 jobs will be cut fromBAE's maritime servicing and support business, mainly affecting Portsmouth on the south coast. The cyber intelligence business of the company in London and nearby Guildford will lose about 150 jobs.
BAE uses the Warton Aerodrome to assemble and test the Eurofighter Typhoon jet, Europe's largest collaborative military project with a list price of about $140 million.
The jet’s production accounts for around 4,000 jobs at BAE Systems, which employs 34,600 people in the UK. The company’s global workforce surpasses 83,000.
Experts say the move is likely to ignite a political row because of the timing of the cuts, which coincide with heightened sensitivity over workforce reductions by major exporters as the UK prepares to exit the European Union (EU) and desperately needs new trade deals with other countries.
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