BAE Systems to cut 100 staff

 

The country’s biggest defence manufacturer, BAE Systems, will cut 100 jobs will be cut by the end of the year, with reductions in the federal defence budget blamed.

AAP reports that the jobs will mostly be shed in South Australia, where BAE employs 1,100. A total of 5,000 people are employed at BAE Australia-wide.

"Our focus is strategic and aimed at improving business efficiency so that we can continue to be highly competitive and 'fit for the future' in what is an increasingly tough market,'' said CEO David Allott, in comments reported by AAP, citing increased competition in the sector.

"These are difficult decisions and we are mindful of the impact these reductions have on our team. Natural staff turnover and redeployment will be used where possible and we will do everything we can to support those employees who are affected.''

The Australian Financial Review reports that the Gillad federal government reduced spending on defence by $5.5 billion in the 2012 budget, taking cuts to that department to $25 billion since 2009.

BAE hopes to save $15 million a year through the redundancies and by moving its Mawson Lakes operations to Edinburgh Parks, where the company is headquartered.

 

Image: The Australian

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