Unite condemns offshoring of quality jobs from Birmingham
28 January 2011
Unite, the UK’s largest union, has condemned the proposed
offshoring of Birmingham-based, Midland Electrical Manufacturing’s
power distribution department - by parent company Eaton Corporation
- as an exercise in pure greed which will result in the loss of 140
highly skilled jobs.
Earlier this month, Eaton announced it was proposing to offshore
all Midland Electrical Manufacturing’s (MEM) power distribution
production to Eastern Europe (Romania) and Asia (Malaysia), which
means manufacturing of all these products will leave Birmingham,
but still carry the prestigious MEM brand name.
MEM has been manufacturing power distribution products in
Birmingham for over 100 years and these products are found in
schools, hospitals, offices and factories all over the world.
Unite regional officer, Tom Keogh, said: “Our real wealth is in
manufacturing and we cannot allow manufacturing to leave this
country at the alarming rate it is being allowed to, at the hands
of global multi-billion dollar corporations in their pursuit of
greed and bigger profit margins.
“We believe this closure to be driven by greed and totally
unnecessary, not to mention the detrimental impact it will have on
the 140 staff who work there. We are urging the company to take a
serious look at alternatives. Some employees have been with the
company for over 30 years and the loss of these highly skilled jobs
will have a massive impact on the local economy.
"Our members have reacted magnificently to past challenges and
now feel betrayed by this announcement. A new confidence had
developed at the site with a real expectancy of there being a
long-term future at Reddings Lane. Those hopes have been dashed by
what now appears to have been a cynical strategy to centralise work
in eastern Europe and Asia, irrespective of the loyalty and
commitment of their dedicated workforce.”
MEM, which has a rich history in Birmingham, was started in 1908
by a Birmingham man, William Barber, and moved to Reddings Lane in
Tysley in 1928 and, as the business grew, he opened up two more
factories in Birmingham plus one in Holyhead North Wales.
In 1973, the business was bought by the Delta Group, which
failed in its pursuit of more profit to satisfy its shareholders by
getting work done on the cheap, outsourcing parts that were made
on-site, which caused many quality issues. The Delta Group then
merged the two factories in Birmingham and brought them under one
roof at Reddings Lane, the last remaining site.
In 2003, Delta sold the company to the Eaton Corporation, a
multi-billion dollar American corporation.
ENDS
For further information contact Tom Keogh on 07798 531031 or
Ashraf Choudhury in the Unite press office on 020 7420 8914 or
07980 224761.
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