As many as 570 jobs are expected to be lost after Germany’s Schaeffler announced plans today to close two UK factories amid Brexit uncertainty.
The company, which employs just over 1,000 staff in the country, said uncertainty over the terms of the UK’s future relationship with the EU had helped shape a review of its global interests.
Schaeffler, which makes ball bearings, said its factories in Plymouth, southwest England, and Llanelli in Wales would close over the next couple of years, with production shifting to Germany, China, South Korea and the United States.
While its biggest plant, in Sheffield, will be retained, Schaeffler said the work of its two logistics centres in Hereford and Sutton Coldfield would be combined at Hereford.
The company’s regional chief executive, Juergen Ziegler, added: “A global business needs to regularly review market conditions and strive to optimise its footprint across different regions.
“The proposed measures we have taken for the UK reflect this business reality. However, we remain committed to keeping certain activities in the UK, a country that will continue to be important to us.”