ERICSSON ANNOUNCE JOB LOSSES

ERICSSON have announced it is pulling nearly all its operations out of Coventry taking up to 700 jobs with it.

Staff at the Swedish firm’s base, in Ansty Park, near Walsgrave, were given the news on Tuesday November 10.

It’s a huge blow for the city’s hopes to develop its economy with advanced manufacturing jobs at Ansty Park.

Ericsson became its first “anchor” tenant earlier this year and Prime Minister Gordon Brown paid a visit.

Thousands more jobs were expected to follow.

Ericsson says it intends to withdraw its UK-based research and development and global service delivery activities from Coventry.

A company statement said: “Some 700 employees are expected to be affected by the proposed withdrawal, which is expected to be implemented by mid-2010.

“The announcement is part of Ericsson’s ongoing global cost reduction activities and are subject to consultations with trade unions and employee forums.

“Staff have been informed.”

Worker’s union Unite described the announcement as a “bolt out of the blue”.

Peter Skyte, Unite national officer, said: “This has come as a bolt out of the blue for the workforce and their families who were looking forward to a promising future in this newly opened site.

“The former Marconi entity acquired by Ericsson a few years ago was among the top ten investors in research and development in the UK and successive governments have maintained the illusion that the country of ownership of a company is immaterial.

“But this decision by Ericsson to close the Ansty Coventry site and withdraw its research and development work from the UK now shatters this illusion, throws highly skilled workers out of work, and robs the UK of key technological development vital for its future.”