Thursday, 13 January 2011

Ideal Standard proposes to shut factories

Ideal Standard has entered a 90-day consultation period to discuss closure of its Middlewich plant in the UK, as well as two factories in France, axeing a total of 560 jobs.
The company blames worsening market conditions and a parallel trend of fewer ceramic pieces required in the bathroom.
In Europe, the ceramics sanitaryware market decreased by 23% in terms of volume between 2007 and 2010. For 2013, the sector in Europe is forecast to be 15% smaller than it was in 2007. (Source BRG)
In the UK, the ceramics sanitaryware market decreased by 30.7% in terms of volume between 2007 and 2010. For 2013, the ceramics sector in the UK is forecast to be 23% smaller than it was in 2007. (Source BRG).
The Development Industrialisation centre located in Middlewich will relocate to Rugeley, with a small number of jobs created, but it is expected there will be 249 job losses.
Ideal Standard issued a statement, which read:  "The UK continues to be a core market for ISI and the company remains committed to maintaining a strong presence there. We will develop our business by investing in new products to service the markets, strengthen customer service and continue to build our market competitiveness.
"The company and its management do not take these kind of decisions lightly, especially when it affects the livelihood of its employees. However, the company believes that this is a necessary step to regain efficiency and to safeguard the company's current position and future prospects in the ceramics industry across Europe."


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