THE government must intervene with financial support to help secure the future of hundreds of East Lancashire jobs in the aerospace business, a local industry leader has warned.
Nelson-based North West Aerospace Alliance (NWAA) chairman Dennis Mendoros has warned of the "deepening crisis" in the local industry and fears for the knock-on effects of redundancies worldwide. And despite the announcement that thousands of East Lancashire jobs would be safeguarded with BAE Systems part in the Joint Strike Fighter Programme, the NWAA has insisted that the industry is still in crisis.
Mr Mendoros has written to Trade and Industry secretary Patricia Hewitt MP to ask her to attend the NWAA's annual meeting in December to discuss the crisis. "The announcement was wonderful news for BAE and the East Lancashire companies which supply it," said a spokesman. "But the military aircraft business is only one part of the aerospace market and there are many companies who work solely in the civil sector.
"Often, they work directly for airlines like Virgin and British Airways and when they are reducing flights and planes, it has a knock-on effect."
His plea comes as Burnley MP Peter Pike called for a debate in the House of Commons on the escalating problems within the industry in the aftermath of the September 11 terrorist strikes on America. Mr Pike asked Robin Cook, Leader of the House of Commons, to recognise the impact the tragedy was having on the local economy and numbers of redundancies in the light of the Michelin closure last week, with the loss of around 450 jobs. It is estimated that up to 15,000 jobs could be directly or indirectly linked to the troubled industry in East Lancashire alone, with 60,000 across the North West.
Job losses have already been announced by local firms, including 60 at Pendle Aeroform at Hargher Clough and 100 at Burnley's Hurel-Hispano.
Mr Mendoros said: "I believe that we are in the early stages of a deepening crisis. The impact on the supply chain is yet to be felt, but will no doubt hit hard, especially amongst aerospace's small to medium-sized suppliers."
Mr Pike said in business questions in the House of Commons: "My Right Honourable Friend will recognise that the situation in the industry has changed greatly since September 11. Does he feel that it is time to hold a debate on the government's approach to manufacturing which I know the government believe to be a crucial part of the national economy as well as of the local economy in places like Burnley?
Mr Cook said: "My Hon Friend raises a very serious issue - the fact that the impact of September 11 on the aviation industry and on the aerospace industry has been substantial.
" The Government will certainly continue the work that we are doing to try to restore faith and confidence in and business for the aviation industry. That is why today t In restoring that confidence lies the best hope of a way forward for the aerospace industry."
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