Cummins pledges to keep manufacturing in Stamford

Cummins Generator Technologies, Barnack Road, Stamford.'Photo: MSMP071112-013ow.jpg
Cummins Generator Technologies, Barnack Road, Stamford.'Photo: MSMP071112-013ow.jpg
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A manufacturing firm has said it wants to remain in Stamford despite cutting 95 jobs and moving a further 200 to Peterborough.

Cummins Generator Technologies, based in Barnack Road, Stamford, broke the news of the job losses to staff on Monday.

The firm said it had to cut the jobs because of an unexpected downturn in demand from its customers all over the world.

Voluntary redundancies are being offered and Cummins has entered into a 30-day consultation with staff and the Unite union to try to keep compulsory redundancies to a minimum.

The firm wants to cut all 95 jobs by the end of December.

Cummins also announced this week it is moving about 200 office staff from the Barnack Road site to Lynch Wood Business Park in Peterborough.

The firm has signed a five-year lease on a building with space for 300 employees.

Currently about 150 office staff are based in temporary buildings on the Barnack Road site. The move to Peterborough will happen between January and March next year.

Plant manager Gareth Hopkinson said that despite the plan to move office staff to Peterborough, the company was committed to manufacturing in Stamford.

He said: “We needed somewhere quickly and couldn’t find anywhere in Stamford.

“There is the potential to build something new on the Barnack Road site. Removing the temporary offices will allow us to tidy up the site and refurbish existing offices.

“This allows us to focus on the manufacturing business.”

The news of the move and job losses comes after Cummins was awarded a £2m grant from the Government’s Regional Development Fund.

The grant will be spent on research and development at the Barnack Road plant over the next five years.

Mr Hopkinson said the announcements had come as a shock to many staff.

He added: “We like to think we have been very honest. We have a fantastic team but they hold us to high account.

“They speak passionately about how we can get better.

“The mood is down. There is some emotion but that is fuelled by people’s passion to improve.”

Mr Hopkinson was also keen to stress that the move to Peterborough would not affect the community work Cummins does in and around Stamford.

In the last year staff have given up their time to take part in a number of different projects.

President of Stamford Chamber of Trade and Commerce, Tim Lee, said the news of job losses was not good but he was confident Stamford would bounce back.

He added: “Cummins has been a member of the chamber for many years and they do tend to expand and contract.

“It is not good news for people because we are not a manufacturing economy in Stamford. Technical and engineering jobs are few and far between.”

* Cummins announced this week that it was withdrawing its support for Cummins Social Club, in Wharf Road, Stamford.

The club is run externally but Cummins currently owns the building and matches the membership fees its employees pay.

Cummins said the club had been under-utilised for a number of years and it did not make financial sense to keep on supporting it.

The firm is working with the club to see if it can find another building.

The club often hosts fundraising events along with regular activities.

The Stamford branch of the Royal British Legion holds its monthly meetings at the club. Chairman John Copeland said it would be a “terrible shame” if it were to close.

He added: “We have been meeting there for two years and looks like we are going to have to find somewhere else, which is a great pity.

“We do try to help the club and keep it going. We regularly have between 60 and 80 people there for meetings and we are all members.”

* Animal feed manufacturer Alltech UK has also revealed it is looking to cut 43 jobs between its factory in Ryhall Road, Stamford, and its warehouse in Pinfold Road, Bourne. The firm wants to move production closer to its raw material base in Belgium.