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Business performanceEmployee relationsEmployment lawLatest NewsEconomics, government & business

Vestas closes despite government funding

by Tara Craig 28 Jul 2009
by Tara Craig 28 Jul 2009

A £6m handout from the government has failed to prevent the closure of Vestas Technology’s Isle of Wight factory.

According to the turbine manufacturer the company is closing its renewable energy plant, with the loss of 600 jobs, because the UK onshore wind market is not growing quickly enough. Production will be moved to Colorado.

The job cuts were announced in April, but it had been hoped that post-budget government funding for the green sector would enable Vestas to keep the plant open.

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The new funding will be used by Vestas’ offshore research and development division.

The company is seeking a possession order in a bid to regain control of its factory, which has been occupied by 25 non-unionised staff since last Tuesday.

Tara Craig

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