Up to 150,000 jobs in the UK’s manufacturing sector could be
lost over the next two years as the economic slowdown in America makes an
impact across the Atlantic according to research.
A study by the Engineering Employers Federation predicts the
jobs will be lost because of a continuing squeeze on profit margins and prices.
But jobs in the engineering sector are expected to remain
reasonably stable and increase gradually from 2002.
EEF chief economist Stephen Radley, commented, “Despite
signs of slower world growth, output and orders have generally held up well and
companies are reasonably optimistic about the future.”
But he called for a cut in interest rates to ensure a
healthy trade environment is maintained.