Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I will certainly do that. My hon. Friend characterises the situation this well; this company has issued profit warnings in the past and has committed to take action to be efficient. These are the decisions of the management, but I think every Member of the House would acknowledge that it is important that our companies are competitive. He is right to say that the skills of the people employed...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I am grateful to the right hon. Lady for bringing this matter to the House in such a timely way. She has a long record of engagement with what is not only a very important employer but a very important national force. It is important to stress the point I made in my statement, and which Mr East has emphasised: the company is expanding its production. It expects to employ more apprentices,...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: The hon. Lady knows—we have had previous exchanges on this across this Dispatch Boxes—that the future of the employees there depends on defence export orders. I think she would acknowledge that there is no one more vigorous than our colleagues in the Ministry of Defence, the Department for International Trade and my Department when it comes to meeting businesses and those who are...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: My right hon. Friend is right to stress that it is important for any British company in an internationally competitive market to be efficient. The company has been very clear about its intentions: that it is a growing company in a growing market. But having made a number of profit warnings over recent years, the management have been on a programme to make it more efficient. It is in all of...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: As the right hon. Lady has said, Rolls-Royce announced this morning that as part of an ongoing restructuring of its business, it intends to reduce the size of its worldwide management and support workforce by up to 4,600. As the company’s main management base is in Derby, it has said that that is where the biggest reduction will be felt. Although the company will embark on a statutory...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I understand why a Member with a strong constituency interest in the workforce there would be anxious and combative in defending their interests. I will ensure, as will the trade unions, that the interests of the workforce are strongly represented. It is not true that all the redundancies will be at Derby, although the hon. Gentleman is right to say that a proportion of them will be. It is...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: As I said to the hon. Member for Kilmarnock and Loudoun (Alan Brown), Warren East has been clear that the proposals that have been made today have nothing to do with any Brexit discussions; they are about the efficiency of the operation. When we talk to those in the aerospace sector, as I do, we find that Rolls-Royce is prominent among them in emphasising the absolute importance of ensuring...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: My hon. Friend is absolutely right to say that aerospace is one of the sectors in which our already strong reputation is growing. Through the industrial strategy, we are making a big investment in research and development and also in training, including retraining, so that an expanding industry can have access to the skills that it needs in the future. This will benefit her constituents and...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: The plans that the company has set out today, as several colleagues have said, are part of a programme to improve efficiency to which it committed some years ago. I agree with the hon. Gentleman that for people who are employed there, the fact that the company has an expanding order book and is continuing to invest in research and development and production will be small comfort, because...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I am grateful to the hon. Lady for her constructive questions. When it comes to redundancies, as I said to the right hon. Member for Derby South (Margaret Beckett), there will be a statutory consultation. Rolls-Royce has confirmed to me that it will of course abide by its agreements with the trade unions and will seek to avoid compulsory redundancies wherever possible. As for the impact on...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: Rolls-Royce is already one of our most successful exporters. All around the world, my Department and the Department for International Trade work closely to support the company’s export push. The industry is very competitive, and there is a requirement to be at the cutting edge of technology, so our investment in research and development is an important boost to that future international...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: My hon. Friend raises an important point. The company has a firm commitment to apprenticeships, and I will emphasise the importance of continuity in the training offered to apprentices.

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: Rolls-Royce has a huge role nationally, but of course it also has a particular role in the east midlands. We see that in the number of people who acquire their skills, and in many cases their inspiration to go into careers in engineering and advanced manufacturing, from the experience of having Rolls-Royce in their midst. That is one reason why we have such a close partnership with it, as I...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I am grateful to the hon. Gentleman for his questions. It is too early to know the distribution of the proposed redundancies across the United Kingdom. As I said to the right hon. Member for Derby South, the management headquarters is obviously in Derby, so the expectation is that most of the UK job losses will happen there, but the company and I will keep Members up to date as the...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: I have extensive consultations with all players in the industry. I listen to them, and make clear in our discussions in government and in our negotiations that what they require in precision terms to be able to operate the efficient system that they do at the moment must continue. As the hon. Gentleman says, this is a jewel in the crown of British industry. It is an industry where demand is...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: My hon. Friend makes an important point. In fact, the demand for engineering skills is increasing right across the country, including in both the east midlands and the west midlands. Rolls-Royce itself plays an important role in training engineers. I met some of the young engineers in Derby, and they can look forward to a wonderful career in engineering. Through the industrial strategy, as my...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: Part of the reason for the development of the industrial strategy, which prominently includes the aerospace sector, is so that we can have the long-term support that is required. When I talk about I support, I mean for research and development programmes, which can take many years to come to fruition. We are known as and have a reputation for being one of the best places in the world for...

Rolls-Royce Redundancies (14 Jun 2018)
Greg Clark: The announcement was made at 7 o’clock this morning that there is a proposal to reduce the headcount. Rolls-Royce has specified that the reduction will be in the management and support functions, rather than in the engineering and operational aspect. When further information is made available, I will make sure the hon. Gentleman, as the Member for a constituency with a great interest in...

Business, Energy and Industrial Strategy: Food and Drink Sector: South-west (12 Jun 2018)
Greg Clark: Food and drink grown and made in Cornwall is exported and enjoyed around the world. My hon. Friend, both as chairman of the all-party group on dairy and as North Cornwall’s MP, will welcome the £75 million investment by Dairy Crest in its Davidstow creamery, announced two weeks ago, to expand its cheese production by nearly 50%. We are working closely with the industry to ensure...

Business, Energy and Industrial Strategy: Food and Drink Sector: South-west (12 Jun 2018)
Greg Clark: We know that there is huge demand for these products. For example, one reason behind the expansion of the creamery is the increasing appetite in China for cheese produced in Cornwall. My hon. Friend mentioned Sharp’s brewery, and the investment in the facility at Rock now means that 340,000 pints of Doom Bar a day can be produced there. I hope some of those will leave these shores and...


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