The Government has been told to “get its head out of the sand” and protect thousands of Derby rail jobs which are threatened by delays to HS2 train engineering contracts.
Alstom – which one report suggests contributed almost £1 billion to the economy over the past year – employs 2,000 people in the city and supports around 5,000 or so workers within the supply chain.
There are fears delays in a big contract to build 54 HS2 trains in the city combined with a slowdown in its current order book could lead to mass job losses next year.
According to DerbyshireLive one Alstom employee says that staff will find out how many of them are to lose their jobs on September 20.
The company is responsible for almost 40 per cent of the UK mainline train fleet, as well as the entire fleets in service with London Underground. Its Litchurch Lane site is the UK’s only train factory.
According to the Unite union, Alstom (formally Bombardier) has been in talks with the Department for Transport asking for refurbishment contracts for existing UK trains to be brought forward, to bridge the gap in its order books. However, it said the Government, has refused to agree to this strategy.
Unite general secretary Sharon Graham said: “The government needs to get its head out of the sand and bring forward these contracts to improve existing rolling stock immediately.
“It is frankly unbelievable that they have not already agreed to this, in order to safeguard thousands of highly skilled jobs held by Unite members at Alstom.
“They now need to do the right thing and I can assure you that Unite will be making sure that they are held to account for their actions.”
Unite regional secretary Paresh Patel said: “The government’s failure to properly plan its procurement process cannot and will not be allowed to threaten the livelihoods of our members.
“If this Government, who claims to be on the side of working people, allows this to happen it will be a gross betrayal of this workforce and the people of Derby.”
Derby City Council, which is seeking talks with Alstom, has pledged to play its part in supporting the company, and urges Government to work with the company.
Council leader Councillor Baggy Shanker said: “The Litchurch Lane factory site is a unique asset for Derby and we understand the impact these job losses will have on our residents and the wider region.
“As a council, we’re ready to play our part and urge the Government and unions to work closely with Alstom to ensure a sustainable future for the factory, which would not only benefit the thousands of staff at the site, but many more across the local supply chain.
“The rail sector is immensely important to the city, and was recognised earlier this year with Derby being named the home for the new Great British Railways headquarters.
“We stand with Alstom and their workers during this challenging time and pledge to support wherever we can.”
A spokesperson from Alstom UK & Ireland said: "Derby is very important to Alstom and to the UK rail sector. It is the only UK factory that can design, engineer, build and test trains for domestic and export markets.
"We are committed to working with Government to secure a sustainable future for the factory, our 2,000 staff and the over 1,400 UK suppliers we work with."
A spokesperson for HS2 said: “Dates for delivery of HS2’s trains are currently under negotiation with our supplier, Hitachi Alstom High-Speed, in a move which will ensure greater alignment with the delivery of HS2’s infrastructure and systems.”
A Department for Transport spokesperson said: “Rail manufacturing plays an important role in growing the UK economy and delivering better services for passengers. The Government remains committed to supporting the entire sector.
“We remain in contact with Alstom as it develops a sustainable future for its Derby site.”