DB Cargo announces devastating plans to cut up to 900 UK jobs in response to rapid and unprecedented changes in the markets it serves.
The German-owned company is proposing a potential reduction of its workforce by 893 roles across the business, a further downsizing of its locomotive and wagon fleet, and a revision of the number and locations of its operational sites.
Hans-Georg Werner, CEO of DB Cargo UK, said: “Responsible and successful businesses must evolve and reshape as their markets change and sometimes this means making tough decisions. Whilst this is a difficult time for all of us at DB Cargo UK, reshaping the company will enable us to build a business for the future and protect the majority of jobs. We are fully committed to supporting colleagues who may be at risk of redundancy.
General Secretary of Rail Union RMT, Mick Cash, responded:
“This is devastating news brought on through a combination of cut-throat practices in the UK rail freight industry and a shocking lack of Government support for this key section of our transport infra-structure.
“RMT’s executive will be meeting this afternoon to consider our response but it is imperative right now that the Government intervene to save skilled jobs in the rail freight industry which are being butchered before our eyes due to a lack of action to protect steel, coal and the rest of our manufacturing base.”
David Cheetham of XTB.com comments:
“The news that DB Cargo is planning to cut almost 30% of the company's workforce shouldn't come as too much of a surprise as a recent dramatic decline in its freight business has caused new CEO Hans-Georg Werner to take decisive action in an attempt to reduce outgoings. Mr. Werner has wasted little time in making a move after only being appointed earlier this month.”