US machinery manufacturer Terex is set to cut the working hours of hundreds of employees across its northern operation, with some jobs at risk of redundancy
The group already launched a redundancy process in July with around 150 people leaving the company, most of them based in Omagh and Dungannon.
At the time, Terex said the “extraordinary surge in demand” its materials processing division had experienced post-Covid had “stabilised”.
In an announcement to staff on Monday morning, the US group said it continues to face reduced demand from key global markets.
“In light of this, we unfortunately must take additional steps to safeguard jobs for the long term,” said a spokesperson from the company.
Terex said the outcome will vary from site to site, but confirmed it may include a combination of reduced working hours, extended holiday periods, and, at its major locations, “the unfortunate necessity of further redundancies”.
While the number of jobs at risk is believed to be relatively small, a significant number of workers face reduced working hours from the start of October.
It’s understood the reduced hours will be tantamount to a 15% pay cut, with staff at various levels affected.
Some sites could also shut down for a longer period over Christmas.
The US group is one of the biggest manufacturing employers in the north, with around 2,000 staff across its bases in Omagh, Dungannon, Derry, Cookstown and Ballymoney.
Its northern operation is primarily focused on the manufacture of mobile crushing and screening machinery for the quarrying, mining, construction and recycling sectors, with its largest factory operations located in Omagh and Dungannon.
It also operates a business services centre in Lurgan.
“By making these changes now, we are better positioned to preserve more roles in the long term and to continue being a key employer in the region,” said the company spokesperson.
“As a global company with a strong presence in Northern Ireland and the UK for over 25 years, Terex has extensive experience managing cyclical market challenges.
“Our broad portfolio positions us to navigate this challenging period while continuing to develop new products and explore new markets.
“Despite this, we understand that this is an unsettling time for everyone involved, and our commitment is to support our team members throughout this period, minimise job losses, and manage these necessary changes with transparency and respect.
“We want to express our gratitude to our team members for their continued dedication and hard work during these challenging times.
“Their commitment is greatly appreciated, and we are doing everything in our power to handle this process with the care and respect they deserve.”
Terex entered the Northern Ireland market in 1999 when it acquired Powerscreen and Finlay, brands synonymous with the crushing and screening industry that emerged out of Co Tyrone in the 1950s and 1960s.
In its latest quarterly financial statement released at the end of July, Terex said net sales in its materials processing division fell 14% year-on-year or $78.8m (£59m) to $498.6m (£374m).
