The Scottish Government says it is “optimistic” that a deal to save 400 skilled manufacturing jobs at bus-maker Alexander Dennis could soon be agreed — just weeks before a consultation on the proposed job cuts is set to end.
Deputy First Minister Kate Forbes confirmed that the government has tabled a new package of support for the company, which has operations in Falkirk and Larbert. The proposals, she said, have been met with a positive response from Alexander Dennis and are believed to meet the firm’s key requirements for retaining both sites.
Alexander Dennis, one of the UK’s best-known bus manufacturers, sparked concern last month after revealing plans to consolidate its operations at a single facility in Scarborough, North Yorkshire — placing its 400-strong Scottish workforce at risk.
Speaking after a meeting with Unite and GMB union representatives, Forbes said she was “hopeful” the situation could progress quickly.
“We are hoping there is a package there which Alexander Dennis have indicated would satisfy their requirements to retain the jobs and retain the sites,” said Forbes.
“When I have discussed that with the unions and the company themselves, it is the one they feel most optimistic about.”
She noted that commercial confidentiality limited what could be disclosed at this stage, but said discussions were progressing well and hinted that an extension to the consultation could be on the table to allow more time to finalise a solution.
First Minister John Swinney earlier this week confirmed that ministers were “actively exploring” options with the firm and other stakeholders to secure the future of the Scottish sites.
Unite union’s Scottish secretary Derek Thomson called the proposals “an important step forward”, but warned that time was running out.
“The time for action is now,” said Thomson. “We urge all parties to act with urgency so that the workers and their families are provided with the necessary confidence over their futures.”
The bus-maker’s managing director Paul Davies previously told MSPs the company would need to secure contracts for at least 70 new buses this year and 300 next year to justify maintaining its Scottish manufacturing base. Its English plant in Scarborough is capable of producing around 1,200 buses annually.
The Falkirk and Larbert job cuts would follow a series of blows to the local economy, including the loss of a further 400 roles at Grangemouth’s oil refinery.
With the consultation deadline looming on 15 August, the next two weeks will be critical. Ministers, unions, and company executives are expected to continue talks behind closed doors to finalise the terms of any agreement — and determine whether the future of Scotland’s bus-building industry can be preserved.
