400 jobs to go as drugs firm winds down Swindon operation

This Is Wiltshire: 400 jobs to go as drugs firm winds down Swindon operation 400 jobs to go as drugs firm winds down Swindon operation

PHARMACEUTICAL giant Patheon has announced it is to wind down its operation in the town - putting more than 400 jobs at risk of redundancy.

The US-based firm told staff at its Dorcan Way headquarters this week they will begin a consultation process with employees and around 91 staff across the whole business will be made redundant by this summer.

Of these 25 people in the town face being laid off in the first round of redundancies this August, which are among the 405 Swindon jobs in the firing line before late-2014.

The firm also said it would execute a ‘plan of termination’ over the next two to three years with the company expecting to make redundancy payouts totalling millions of pounds.

It comes after the Adver reported last September the business was looking for potential buyers for the Dorcan site but negotiations appear to have fallen through.

One employee, who asked to remain anonymous, said: "It’s very sad news but we are not surprised.

"It has been running so inefficiently for so long and there has been a lack of investment. It’s too little, too late.

"They had interested parties but whoever was interested would not pay the going rate and rather than flog it.

"The first tranche will be in two years time and the problem will be keeping up morale as people will. They still have to do the job knowing they are going to shut. If they see another job they will be thinking is it worth staying or going as soon as possible. There are people who have been here for 30 years and it is quite sad.”

In a statement on its website the US firm said: "Patheon Inc. announced that it continues to implement its corporate transformation strategy across its commercial and pharmaceutical development services ("PDS") networks to enhance capacity utilization, focus capital investments on its core business, and accelerate operational excellence programs to increase efficiency, meet customer needs, and improve its cost structure.

"The company announced a plan of termination that is expected to result in a workforce reduction of approximately 91 employees across the company's global PDS and commercial operating segments.

"In the UK, the company has begun the consultative process with the works councils representing the employees at the Swindon and Milton Park facilities. Subject to these consultations, the company expects to complete the Plan of Termination across all affected sites by the end of fiscal 2012. The company expects to incur approximately $5.4m of expense associated with employee termination benefits.

"The company anticipates that it may further adjust the size of the workforce at the Swindon facility as it continues its transformation process, with a total of approximately 400 jobs at risk of redundancy."

Comments (9)

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5:58pm Thu 10 May 12

The Patrician says...

Another American firm using its operations in this country as a scapegoat
Another American firm using its operations in this country as a scapegoat The Patrician
  • Score: 0

7:06pm Thu 10 May 12

itsamess says...

Its not over until the fat lady sings-2 years is a long time in business.
Its not over until the fat lady sings-2 years is a long time in business. itsamess
  • Score: 0

7:12pm Thu 10 May 12

redrobin says...

Its been up and down for many years. I no people in there and they havent been happy for a long time. Hopefully the opening of Morrisons ( which is round the corner ) in Eldene will lighten the blow.
Its been up and down for many years. I no people in there and they havent been happy for a long time. Hopefully the opening of Morrisons ( which is round the corner ) in Eldene will lighten the blow. redrobin
  • Score: 0

7:38pm Thu 10 May 12

itsamess says...

Doubtful if Morrisons in Dorcan can take 400 jobs--it will not be built when the first 25 jobs go and the first tranche is going in 2 years time and Morrisons should be up and running before then.
Doubtful if Morrisons in Dorcan can take 400 jobs--it will not be built when the first 25 jobs go and the first tranche is going in 2 years time and Morrisons should be up and running before then. itsamess
  • Score: 0

8:11pm Thu 10 May 12

Blackmalkin says...

So...how many hundred shoeboxes will the housing developers be able to squash onto that site? I used to live right over Dorcan Way from it; it completely blocked the Oxford TV signal!
So...how many hundred shoeboxes will the housing developers be able to squash onto that site? I used to live right over Dorcan Way from it; it completely blocked the Oxford TV signal! Blackmalkin
  • Score: 0

8:30pm Thu 10 May 12

faatmaan says...

approx £10k average redundancy does not equate to being jobless for much time, especially if skilled in one specialist non transferable skill set, people there, are probably on more than the low paid jobs from the service sector, also bear in mind the figure quoted may also include the overall cost of laying the staff off and may significantly diminish the redundancy payments, good luck to all affected, now lets see the residents of Covingham oppose any development of any kind on this site, my vote goes for low density budget housing for the people of Swindon who have been genuinely waiting on the council waiting list for many years.
approx £10k average redundancy does not equate to being jobless for much time, especially if skilled in one specialist non transferable skill set, people there, are probably on more than the low paid jobs from the service sector, also bear in mind the figure quoted may also include the overall cost of laying the staff off and may significantly diminish the redundancy payments, good luck to all affected, now lets see the residents of Covingham oppose any development of any kind on this site, my vote goes for low density budget housing for the people of Swindon who have been genuinely waiting on the council waiting list for many years. faatmaan
  • Score: 0

8:45pm Thu 10 May 12

Simples! says...

More low Budget density housing? We can only hope not.
More low Budget density housing? We can only hope not. Simples!
  • Score: 0

10:15pm Thu 10 May 12

faatmaan says...

my point is that new social housing should be ring fenced for swindonians who have lived here in Swindon for a minimum of say 20 years, do not allow transfers from other estates , give those who have genuinely waited on the housing list a chance to get a foot in a new estate free of the usual problems associated with other estates,these are going to be the people who cannot afford to buy, work hard , yet cannot afford to rent either, give real Swindonians a chance in life, by the way i do not fall into any of these categories except for living in Swindon all my life, can any of you see anyway your children will be able to get a property of their own ?
my point is that new social housing should be ring fenced for swindonians who have lived here in Swindon for a minimum of say 20 years, do not allow transfers from other estates , give those who have genuinely waited on the housing list a chance to get a foot in a new estate free of the usual problems associated with other estates,these are going to be the people who cannot afford to buy, work hard , yet cannot afford to rent either, give real Swindonians a chance in life, by the way i do not fall into any of these categories except for living in Swindon all my life, can any of you see anyway your children will be able to get a property of their own ? faatmaan
  • Score: 0

8:38am Fri 11 May 12

Mushymushy says...

Where does it say in the article about building houses on the site,and to think building a morrisons as some sort of compensation for the workers who loose their jobs,are you mad the minimum wage in patheon would be in excess of about 20 k a typical supermarket shop worker minimum wage,so I don't think there is will be any comfort for those loosing their jobs knowing a budget supermarket is being built around the corner
Where does it say in the article about building houses on the site,and to think building a morrisons as some sort of compensation for the workers who loose their jobs,are you mad the minimum wage in patheon would be in excess of about 20 k a typical supermarket shop worker minimum wage,so I don't think there is will be any comfort for those loosing their jobs knowing a budget supermarket is being built around the corner Mushymushy
  • Score: 0

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