Financial News
- 7 December 2012, 2:05
Remploy Closures: Hundreds More Jobs At Risk
Hundreds more disabled workers at Remploy factories are at risk of losing their jobs under fresh closure plans.
A further 875 employees, including 682 disabled people, have been told they face compulsory redundancy.
Ministers announced earlier this year that a number of Remploy factories would close, arguing that the budget for disabled employment services could be spent more effectively.
Thirty-four factories have ceased operations since then and are in the process of closing, with the loss of 1,752 jobs.
The future of a further 18 sites remained unclear, but on Thursday ministers said some will close, while others have the potential to move out of Government-funded support.
A Department for Work and Pensions spokesman said: "From today, Remploy will invite expressions of interest to take over the running of the remaining factories.
"Our priority throughout this process is to safeguard jobs, which is why we are offering a wage subsidy of up to £6,400 per disabled employee to encourage interested parties to come forward.
"We have also been clear from the start that we have protected the £320m budget for disability employment services
"But we are following the advice of disability expert Liz Sayce to use the money more effectively to get more disabled people into mainstream jobs - the same as everyone else.
"All disabled employees affected by the changes will be guaranteed tailored support from an £8m package, including a personal case worker, to help with the transition into mainstream employment."
Phil Davies of the GMB union said: "This is devastating news for the disabled workers in Remploy and gives the lie to the Chancellor's claim in his Autumn Statement that the vulnerable would be taken care of by the Government."
Workers at risk of redundancy are in 15 Remploy factories, with three automotive businesses not included.
Remploy said it had considered the viability of the remaining businesses and how they might move out of Government control.
what do you think?
Windows Live User
Ministers think money might be spent better (in overseas aid of 12.6m perhaps?) and let 75 employees, including 682 disabled people just go on the dole. C'mon there is money wasted everywhere. At least this was keeping diabled going with a purpose in the community Next they will stop their Job Seekers Allowance because they failed to find a job.
james stevenson
I see I hve been beaten to the subject, but I will add to the above voies, STOP THE AID at ONCE, think about your own people
james stevenson
Sorry voices
bjnk
I see they also offer £6400 of taxpayers money to private enterprise companies to take on those affected by redundancy,again once these companies have had the money the job will not be sustained and these poor people will have to go through the system again. This government is despicable, its a pittance in the scheme of things to keep remploy going or even expand,but are quick to give our money to their cronies. Once again you tories dont get the concept of capitalism,Thatchers sell off everything party. No assets = no business=bankrupt you'll get us there soon.
David Wragg
11:36am on 6/12/2012
Which is better, supporting a company like Remploy so that people can do useful work, or paying out social security benefits long-term? I suggest the former. A company like this cannot be treated on a completely profit-making basis. It would be diffferent if the subsidy threatened other furniture manuafacturers, but it hasn't in the past - I know as I once worked for one. By the way, I am not a socialist but a disenchanted Tory. By the way folks, this is my second attempt at this comment as the Orange illiterates object to the word f**ding.
Windows Live User
12:27pm on 6/12/2012
David I agree fully with your words, and would immediately choose your first option. This what they call care in the community then I dont want it. If we can afford to look after the rest of the worlds poor then we can our own. Those jobs gave a sense of purpose and now????????? People are always saying get the unemployed out of bed to clean the streets, woodland and streams etc so why do we go in in reverse with our thinking? We give 12.6 away in aid overseas yet cast our own on the scrapheap. Next some "Minister" will close Parliament and cast the "B . um. s on seats" out to save money