North East electric vehicle battery plant to cut 130 jobs following drop in demand

A North East electric vehicle battery plant has confirmed that approximately 130 members of staff are at risk of redundancy.

Envision AESC UK, based in Washington, supplies batteries to car manufacturer Nissan, and currently employs just under 400 people - meaning it would be cutting around a third of its workforce.

The company said that the decision follows a decrease in demand due to economic difficulties caused by coronavirus.

A statement from Envision AESC said: “Due to the global economic stagnation caused by the new coronavirus, demand across the automotive sector has decreased significantly.

“As a result, it is necessary to review headcount levels in Japan and the UK to match resource to the lower level of demand.

“In the UK, the business will soon launch an employee consultation process on proposals to reduce staff numbers.”

Speaking to local media, Unite regional officer Nick Halton commented: “We understand that the company has announced potential redundancies and started a 45 day consultation.

“I am at the company this morning to ascertain the full implications of the announcement.

“This is a blow for the workers and their families, as well for the wider Sunderland economy. These are jobs the North East region can ill-afford to lose.

“Unite’s bottom line is that we don’t want any compulsory redundancies and we would urge the firm to reconsider the scale of the potential job losses, as we will need the skilled workers, such as those at Envision, to plan for the post-pandemic economy.”