Doncaster rail freight firm planing to cut 900 jobs in UK
A Doncaster based rail freight firm is planing to cut 900 jobs in the UK.
DB Cargo - which is based in Doncaster - says it's because of a "dramatic decline" in markets like coal.
The planned losses represent almost 30 per cent of the company's workforce.
The German-owned firm thinks the rail freight industry is facing - what it calls - "unprecedented challenges."
The company is proposing a potential reduction of its workforce by 893 roles across the business, a further downsizing of its locomotive and wagon fleet, and a revision of the number and locations of its operational sites.
In a statement the company say the rail freight industry is facing unprecedented challenges with the dramatic decline in core markets such as coal.
Hans-Georg Werner, CEO of DB Cargo UK, said:
“Responsible and successful businesses must evolve and reshape as their markets change and sometimes this means making tough decisions. Whilst this is a difficult time for all of us at DB Cargo UK, reshaping the company will enable us to build a business for the future and protect the majority of jobs. We are fully committed to supporting colleagues who may be at risk of redundancy.
"We firmly believe in the future of rail freight in the UK. Our motorways and roads are becoming more congested and rail offers fast and clean supply chain solutions. Our new business strategy will ensure we are a perfect logistics partner of choice for customers across all sectors, including construction, automotive and intermodal, long into the future.”
The RMT Union has responded to the announcement, to what they describe as 'savage job cuts'.
General Secretary Mick Cash said
“This is devastating news brought on through a combination of cut-throat practices in the UK rail freight industry and a shocking lack of Government support for this key section of our transport infra-structure.
“RMT’s executive will be meeting this afternoon to consider our response but it is imperative right now that the Government intervene to save skilled jobs in the rail freight industry which are being butchered before our eyes due to a lack of action to protect steel, coal and the rest of our manufacturing base.”
The company say no final decisions have been taken at this stage and all of the proposals are subject to formal collective and individual consultations.