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Parker plans to shut Derby tube plant

10 October, 2010

Parker Hannifin has announced plans to close its tube-fitting manufacturing plant in Derby and the forge in its UK hose assembly facility in Halesowen, with the possible loss of up to 121 jobs. It has started a 90-day period of consultation with its employees and their representatives to discuss closing the operations, which come under its European Tube Fittings division.

Parker’s hose assembly facility in Halesowen is not affected, although the closure of a sales office in Derby is also being discussed.
 
Parker says that the tube-fitting market is characterised by aggressive competition and by products being offered at ever-lower prices. While it can maintain the competitiveness of the metric DIN products produced by the division in other parts of Europe, it says that the lower-volume SAE fittings made in the UK are uncompetitive.

To improve performance of the division and the long-term competitive position of the SAE products, Parker wants to phase out production of these lines at Derby and Halesowen and to consolidate their production at its other sites. It also wants to close the Derby sales office and transfer its work to the main Parker Sales UK site in Warwick.
 
The Derby plant employs 110 people and the Halesowen operation 11 people. Parker says its is seeking the co-operation of its workforce to achieve the best possible outcome for the affected employees.




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