Caterpillar jobs go as slump hits home
FURTHER evidence that the housebuilding industry is under the most severe pressure for 20 years came with news that Stockton-based Caterpillar UK has shed 75 temporary workers.
The firm’s headquarters in Leicestershire has also laid off 320 staff.
It blamed its action on “a softening in the European residential construction market”.
The jobs are being axed in the digger and excavator maker’s building and construction products division.
The announcement comes as Komatsu UK announced it was also laying off 96 temporary workers from its Birtley factory near Gateshead and moving production from a five to three-day week.
A spokesman for Caterpillar said: “Our previously very positive expectations have started to shift in the light of world financial events and a general softening in the European residential construction market.
“We regret this action is necessary but believe it is ultimately in the best interest of our business, and serving our dealers and customers.”
There is anecdotal evidence that pain in the housing market is affecting smaller independent businesses throughout the Tees Valley as developers close up sites before completion and end contracts early.
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