Cooper Tire & Rubber Company Europe has announced that it will be proceeding with its plans to stop the production of tires meant for light vehicles at its plant in Melksham, UK.
The US tire manufacturer had already embarked on a collective consultation process with employee representatives at the factory back in October 2018. The process has now concluded. The plan is to phase out the production of tires for light vehicles over a period of about 10 months.
It is estimated that about 300 people will be made redundant as an outcome of this decision. All the employees who will be laid off will receive appropriate notice, enhanced separation pay and assistance with continued career services.
Cooper Tire Europe will source light vehicle tires from other manufacturing sites within the company ’s global production network in order to cater to demand from customers. The company will continue to have a workforce of about 400 employees at Melksham in order to support activities that will continue to be carried out at the plant. This will include the production of motorsport and motorcycle tires, the materials business, the Cooper Tire Europe headquarters, sales and marketing, and the European technical center.
Commenting on the decision, Jaap van Wessum, general manager of Cooper Tire Europe said that the company is doing all it can to assist the employees who would be affected by the move. He said that the company took this decision in order to enhance the competitiveness of Cooper Tire Europe, enable its growth plans and to secure a sustainable long-term future for its business.
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