DOUGLAS Alexander has said that the UK Government has been “leading intensive work” on saving jobs at Alexander Dennis – despite the bus firm's announcement making no reference to his claim.
On Monday, First Minister John Swinney confirmed that Alexander Dennis will keep its Scottish sites open after the SNP Government pledged £4 million towards a furlough scheme.
It comes after the Falkirk-based manufacturer announced in June that it would be closing its Scottish sites and moving production to England, putting 400 jobs at risk.
Following the announcement of the furlough scheme the Scottish Secretary, Alexander, claimed the UK Government was the leading force behind the plans.
He said: “This will be a relief to the talented workforce.
“The UK Government has been leading intensive work with partners, including the Scottish Government, and actively encouraged the furlough scheme that has been announced today.”
Michael Shanks also echoed the Scottish Secretary’s remarks as he congratulated Labour MPs instead of Scottish ministers over the announcement on social media.
He wrote: “Fantastic news – and a testament to the hard work of Scottish Labour MPs like Euan against a backdrop of failed procurement by the SNP.”
However, in the release announcing the news on Monday, the president and managing director of Alexander Dennis, Paul Dennis, made no mention of the UK Government and instead praised the Scottish Government.
“We are deeply grateful for the Scottish Government’s commitment to preserving jobs, skills, and industrial capability in the region,” Dennis said.
He added: “Today’s announcement marks a turning point. The Scottish Government’s support allows us to propose a new outcome to our statutory consultation today.
“Together with our team members’ acceptance of new terms and conditions through the trade union ballot, and the confidence we have in securing new orders, we will be able to keep our manufacturing sites in Larbert and Falkirk open and operational.
Dennis continued: “This decision saves hundreds of jobs within Alexander Dennis and supports our 1000 suppliers throughout the UK.”
The furlough scheme will run for 26 weeks to enable Alexander Dennis to bring manufacturing back online.
The Scottish Government said it will fund 80% of the scheme, with Alexander Dennis providing the remainder.
In order to access the funding, the firm will need to provide evidence of sufficient orders to sustain its operations in Scotland.
Confirming the news, Swinney said: “The Scottish Government wants to retain the manufacturing workforce of Alexander Dennis. My officials have discussed detailed terms with management and reached agreement on the principles of a company run furlough scheme.
“To access the Scottish Government funding, the company will need to provide evidence of orders that will enable its manufacturing to continue in Scotland. Although the details are commercially sensitive, I am aware Alexander Dennis is working hard to do that.
“This is intended to act as a bridge to a sustainable future for the company in Scotland. During this period, training will also be offered by Scottish Enterprise.”
Swinney added: “It is essential we protect the skilled manufacturing jobs we need to build our transition to a green industrial economy.”
