Bombardier

lemonjelly

http://www.bbc.co.uk/news/uk-england-derbyshire-14019992

Gotta be a massive blow to the local economy. £1.4bn contract lost.

Who will give these british workers jobs, as IDS wants? Half this workforce will disappear after the consultation ends...

zygurat789

lemonjelly wrote: »

http://www.bbc.co.uk/news/uk-england-derbyshire-14019992

Gotta be a massive blow to the local economy. £1.4bn contract lost.

Who will give these british workers jobs, as IDS wants? Half this workforce will disappear after the consultation ends...

The German quote was "better value for money"
It must have been a lot less than Bombadier to enable the govt to pay redundancy and unemployment benefits, not receive all the tax and NI and pay more because the pound will go down against the Euro as a result of these outflows.
I'd like to see the siemens share register

ILW

You do have to wonder why Siemens can do a better price including what must be pretty hefty transportation costs.

Conrad

"The government has said that the Siemens bid represents the best value for money, and that it was following EU procurement rules, which do not allow where companies are based to be taken into account."


Yeah, like the French would follow that rule!

ILW

Oddly, i believe that engineering wage rates are higher in Germany than they are here.

angrypirate

zygurat789 wrote: »

The German quote was "better value for money"
It must have been a lot less than Bombadier to enable the govt to pay redundancy and unemployment benefits, not receive all the tax and NI and pay more because the pound will go down against the Euro as a result of these outflows.
I'd like to see the siemens share register

Unfortunately the government cant take this into account when evaluating the bid.

When the contract went out to tender, a list of criteria would have been provided to the companies. The government could have been placed various criteria that would favour UK firms. Whilst not against EU rules, it would have been bending it a little. Unfortunately the government at the time was labour so its no surprise - you dont expect intelligent thinking from Brown and his mob of merry men do you?

iB1

I believe that Siemens are creating a few hundred jobs for this contract somewhere 'oop North. Not 1400 though

BenL

Yes indeed they are, 2000 across the UK.

Siemens said the contract would lead to the creation of 2,000 jobs across the UK, including up to 300 at a factory in Hebburn, South Tyneside.


http://www.bbc.co.uk/news/business-13792510

So we have gained employment for a net of 600, but the new Bombardier article seems to suggest the 2000 UK posts are not coming now. Very strange, maybe they have the same people running the contract winning as the Kraft takeover of Cadbury

iB1

BenL wrote: »

Yes indeed they are, 2000 across the UK.

Siemens said the contract would lead to the creation of 2,000 jobs across the UK, including up to 300 at a factory in Hebburn, South Tyneside.


http://www.bbc.co.uk/news/business-13792510

So we have gained employment for a net of 600, but the new Bombardier article seems to suggest the 2000 UK posts are not coming now. Very strange, maybe they have the same people running the contract winning as the Kraft takeover of Cadbury

Ahhh I heard about the 300 jobs, but didn't realise there were another 1700 knocking about.

So I guess that this sucks for Derby... but overall it's not the armageddon that the media are reporting

lemonjelly

I've also heard that Bombardier were in trouble anyway, & were due to make 1200 redundant regardless of whether they got this contract or not.

John_Pierpoint

ILW wrote: »

Oddly, i believe that engineering wage rates are higher in Germany than they are here.

As I understand it, the Siemens product is technologically better as well as cheaper.

Specifically it incorporates more modern light weight materials and better breaking thus requiring lower electricity bills to run it.
As we all know the UK government is up against it to meet its energy/carbon reduction targets.

Mind you Siemens appears to have had its technology cloned by the Chinese, who can now build their own high speed trains cheaper than Siemens - I wonder if the Chinese were given a chance to quote.;)