Bearing plant closure plans a 'betrayal' to staff

Unite's Steve Bush said the closure announcement had come as a blow to staff

Plans to shut two bearing factories are a "betrayal" to the almost 400 workers who could lose their jobs, a union has said.

Japan-based NSK Ltd has told staff it is looking to end production at its two factories in Peterlee, County Durham, as part of a restructure of its European business.

Unite the Union general secretary Sharon Graham said staff at NSK Bearings and AKS Precision Ball had "broken their backs" to hit targets on the understanding the factories would remain open.

NSK said the factories had suffered in recent years because of the "shrinking European car production and the intensified competition from Asia".

Most of the bearings made in the factories are shipped to Europe for use in Volkswagen and Renault vehicles.

Unite has called on NSK to reverse its decision to close the two "viable" sites.

"This is a complete betrayal by NSK of its County Durham workforce, who have broken their backs hitting performance targets that they were told would keep their factories safe," Ms Graham said.

NSK has proposed closing its two factories in Peterlee

Unite national officer Steve Bush said: "We understand local management, along with our members, have worked very hard over the last 12 to 16 months to hit targets, to hit KPIs, which they have done and I am immensely proud of them."

He said for staff to be told their efforts were not enough and that work could be moved away from north-east England was a "significant" blow.

Mr Bush called for the government to step in and protect the British automotive sector.

Labour Peterlee MP Grahame Morris said the closure announcement came as "a bit of a shock" and he had contacted Business Secretary Peter Kyle and North East Mayor Kim McGuinness about the issue.

"There is a market for wheel bearings," he said.

"Clearly, NSK have other manufacturing sites and we are outside the EU now - I don't know if that has been a factor - but I am going to be working with the trade unions to put together a business case to maintain production at this plant."

McGuinness said she was seeking an "urgent meeting" with NSK.

"Most families will know someone working at NSK and news it might be closing down operations in the town will come as a huge shock," she said.

NSK said it was restructuring its business due to "challenges in the profitability of locally manufactured products".

A spokesperson said: "This proposal is no reflection of [the] workforce, who have been incredibly loyal for many years, some their entire working careers, showing huge commitment and best-in-class performance."

The company said the closures would take place no later than March 2027.