Some 650 workers at cash machine manufacturer NCR are to be made redundant after the company announced plans to close its Dundee plant.
The American-owned company blamed the “changing market environment” and increasing competitive pressures for the decision.
NCR director of manufacturing operations Allan Valentine said: “Despite our efforts to take cost out of our operations, it costs us more money to build ATMs on a unit-by-unit basis in Dundee than in any of our other manufacturing plants. We cannot continue with our current strategy.”
Production will continue at the company’s plant in Budapest, Hungary, and at its factories in Beijing and India, NCR said.
Only 100 staff will be kept on at the Dundee site to make research products
First minister Jack McConnell said the Scottish Executive would monitor the situation.
“We take the future prosperity of the city very seriously and there will be early meetings to discuss this,” he said.