BAE Systems Plc (BA/) will cut 3,000 jobs in the U.K., ending a century of manufacturing at a site in northern England, as it slows production of the Eurofighter Typhoon and F-35 Joint Strike Fighter.
About 900 jobs will go at Brough, London-based BAE said in a statement today. Warton will suffer 843 job losses, and Samlesbury a further 565.
“Our customers are facing huge pressures on their defense budgets and affordability has become an increasing priority,” Chief Executive Officer Ian King said in the statement. “Some of our programs have seen significant changes.”
BAE has cut 2,500 jobs in each of the last two years as it scales back production amid shrinking defense budgets. The British company is among defense contractors vying for orders for fighter jets from Japan and emerging markets including India and Saudi Arabia.
BAE, European Aeronautic, Defence & Space Co. and Finmeccanica SpA (FNC), makers of the Eurofighter, need an additional order from partner nations by 2013 to maintain production. Eurofighter now makes 50 fighter jets a year. The U.K., Italy, Germany and Spain agreed to produce fewer combat jets to stretch production and the expected increase in F-35 production rates will be trimmed following pressure on the U.S. defense budget.
BAE’s other planned job cuts include 51 in Christchurch, Dorset, 132 in Yeovil, Somerset, 78 at Farnborough, south of London.
The Military Air and Information and Shared Services unit employs about 15,500 people across 28 industrial sites and Royal Air Force bases. It develops, delivers and supports military air platforms and technologies for the Typhoon, F-35 Lightning II, Tornado and Hawk.
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