Rolls to reduce headcount by 4% in 2009

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Rolls-Royce announced today (20 November) that it is proposing to cut 140 jobs at its assembly and test facility - part of the group’s civil aerospace business - in Derby.

Rolls said the announcement represented the first stage in a more general programme “aimed at matching the Group’s capacity more closely with the expected load in its facilities”. The aerospace, defence and marine engineering group currently employs around 39,000 people globally, about 24,000 of them in the UK. Rolls-Royce said it had been reviewing the possible impact of current economic uncertainties and delays on programmes such as the new generation passenger super jumbos, the Airbus A380 and the Boeing 787. It is likely that further jobs will go in 2009, bringing the total worldwide losses to between 1,500 and 2,000. These planned reductions account for around four per cent of the total workforce. In January, the company announced that it would reduce its non-manufacturing headcount by 2,300 during 2008; a programme that is now largely complete. Chief executive Sir John Rose (pictured) said: “We are determined to maintain our focus on cost reduction and competitiveness as the world economy enters a challenging period. It is too early to determine the precise effects of the global economic downturn and programme delays. However, we wanted to give all our employees an early indication of the likely scale of the job reductions we expect in 2009.”