Staff return after signs of recovery at electronic giant

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Tuesday, December 01, 2009
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This is Staffordshire

MANUFACTURING giant Siemens is taking on staff again as it starts to recover from the recession.

More than 100 people have lost their jobs at the company's Congleton factory, which also switched to a four-day working week during months of cuts earlier this year.

But bosses at the Varey Road plant have now taken on 25 new workers, including some of those made redundant, after a "steady increase" in business.

Managing director Finbarr Dowling told The Sentinel he believed the worst of the recession was over.

But he warned there was still a long way to go before a full recovery.

He said: "Our lowest point in terms of order intake was seven months ago, but since then, we have seen a steady increase in business, which has seen us able to bring back staff who we previously let go.

"We're now back to a five-day week which is another promising sign.

"This factory is unique because we are not just reliant on the British market. We export to 75 countries, so we are lucky in the sense that we have benefited from other countries' markets as and when they have picked up.

"Things are looking brighter, but we will not be back to where we were before the recession for at least another two years."

The job cuts at the Congleton factory, which produces drive mechanisms for industrial machinery, affected 49 temporary staff and up to 70 permanent positions.

It means the company now employs around 340 people and Mr Dowling is hopeful further cuts would not have to be made at the factory.

He added: "We are in a pretty good position, but the real worry is whether the markets could collapse again.

"The first signs things weren't going well was about a year ago, when orders just began to dry up.

"People simply stopped buying and we had too much stock.

"Ideally we would like to take on more staff in the future, but this really is uncharted territory we find ourselves in so we have to be careful. If you had told me six months ago that we would be taking staff back on before Christmas, I would have said no chance, so you never know.

"The staff have been fantastic and have shown a great attitude in the way they have conducted themselves during these difficult times."

News of the jobs boost has been welcomed by Peter Whiers, chief executive of Congleton Chamber of Commerce and Enterprise.

He said: "It is very pleasing to hear Siemens is taking on staff as it is a core business and key employer in the town.

"However, the number of job claimants per vacancy in Cheshire East rose from three to three-and-a-half per cent from August to September, so it is clear we still need to exercise caution with the recession."

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