Rolls-Royce Redundancies

Marcus Jones Excerpts
Thursday 14th June 2018

(5 years, 9 months ago)

Commons Chamber
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Greg Clark Portrait Greg Clark
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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 consultation takes place.

As for the combination of an intention to expand the production of aerospace engines and a growing order book with the need for fewer managers, that is not uncommon across competitive industries, and most industries are becoming simpler in their internal processes. That is not to say that the skills, commitment and loyalty of those who are affected are not extremely high and that they will not be in strong demand elsewhere, and it is important that we support that. We will provide all the help and assistance we can if retraining is needed.

The hon. Gentleman asks about Brexit, and Rolls-Royce has been clear that this is about making the company more efficient. It has no relation to Brexit, although it is fair to say that the continued ability to operate a just-in-time production system once we leave the European Union will, of course, be very important to the company.

Marcus Jones Portrait Mr Marcus Jones (Nuneaton) (Con)
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I represent constituents who work at Rolls-Royce both in Coventry and in Derby. This is clearly a sad day for those affected by this decision and their families, but I am heartened that Rolls-Royce is looking to expand the number of engineers at the company and to take on more apprentices. How will the Government work with companies such as Rolls-Royce, and with other manufacturing companies, to make sure we can bring through the next generation of engineers and bring them into our economy?

Greg Clark Portrait Greg Clark
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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 hon. Friend is aware, we are placing greater emphasis on science, technology, engineering and maths skills in schools and colleges, and we are creating institutes of technology. With the aerospace and automotive sectors in the east midlands and west midlands, we are now creating more places for apprentices through those joint initiatives so that we can supply the growing order books, based on the skills that are needed.