Glaxo to shed 200 jobs
DRUGS giant GlaxoSmithKline has confirmed it is axing 200 jobs at its County Durham factory but pledged to invest £17m in the site next year.
The pharmaceutical group is the biggest employer in Barnard Castle, providing work for 961 permanent staff and 65 agency workers at the 60-acre Harmire Road site, which manufactures medicines such as the Zovirax cold sore treatment and new Glaxo products.
The company announced last month is was seeking voluntary redundancies and said yesterday 48 people had come forward. They are included in the 200 figure and Glaxo said it hoped to shed the remaining posts through continued voluntary redundancy and early retirement. It also said a separate design review in October had identified 20 jobs that would go in addition to those announced yesterday.
Site director Roger Connor said: “We very much regret the need for these proposed job losses but they are essential to remain competitive within the global pharmaceutical market.
“It is a difficult proposal for the company to make and I want to emphasise that it is not a reflection on the quality of our staff or on our commitment to the Barnard Castle site.”
The job losses are a result of a three-month review of staffing levels, structure and cost-cutting at the site as Glaxo attempts to save £700m globally by 2012 as it struggles to compete with cheaper generic medicines.
However, the company said it remained committed to the Barnard Castle plant, where it has invested £148m in the last two years and pledged to plough in a further £17m next year.
Mr Connor said: “These investments and the proposed restructuring announced will put us in the best possible position to ensure a sustainable future for the site.”
Glaxo said it would work with One NorthEast and the County Durham Development Company to provide retraining and community support for those who lost their jobs.
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