Industrial equipment manufacturer JCB halts all UK production

PRESS RELEASE – Industrial equipment manufacturer JCB has stopped production at all of its UK manufacturing plants as disruption resulting from the worldwide Coronavirus pandemic causes an unprecedented reduction in global demand.

The company has halted production since March 18 at its nine manufacturing plants in Staffordshire, Derbyshire and Wrexham. This situation will at least last until the end of this week. Shop floor employees affected by the move will be paid in full during this period.

No decision has yet been taken on what happens from the week commencing Monday, March 30th and beyond. Office staff will continue to work a 39-hour week, with many working from home, in support of the Government’s social distancing policy.

“These measures are unprecedented in the history of JCB but are absolutely necessary to protect the business”, says JCB CEO Graeme Macdonald. “JCB is a global exporter and worldwide demand for our products has dropped sharply as customers cancel orders and defer deliveries. This is not just a UK issue, it is worldwide and with countries like France, Spain and Italy going into lock-down, those key markets for construction equipment disappear overnight.”

In light of the fast-changing situation, Graeme says JCB needs to replan its production. “Halting manufacturing allows us to take stock of the situation, re-plan our order book, prioritise products that are definitely required by customers, and ensure parts and components are reassigned to support the production of these products”, the CEO says.

Author: Tobias Pieffers

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