UK-based glass manufacturer Pilkington has announced plans to let go another 90 jobs after a disappointing performance amidst the global recession. The St.Helens glass manufacturer who specialises in solar applications, announced that quarterly sales dropped by three percent to £1.08 billion.
Pilkington’s parent company, NSG Group, blamed the deterioration of its core markets for the company’s poor performance. The group said in a statement: “In Europe, architectural markets were weak, as economic uncertainty affected levels of public, commercial, and residential construction.
“Volumes declined from previous quarters, and prices weakened across most regions. Automotive markets were also increasingly challenging, with declining consumer demand in most major markets leading to reductions in vehicle production.”
The loss of the 90 jobs follows the company’s decision to axe 150 jobs at the group’s solar cutting line in Cowley Hill. Low-demand in key export markets meant that the company’s solar offering suffered. However, the company is set to proceed with its planned ‘Project Chocolate’, which will see a new construction plant worth £36 million erected on the Cowley Hill site, in order to manufacture more energy efficient glass.
NSG Group predicts that the outlook will remain bleak for the remainder of the financial year, adding: “Consumers, faced with a deteriorating economic outlook, have increasingly sought to postpone significant spending decisions.
“The group does not expect to experience a significant improvement in market conditions during the remainder of the financial year, although operating results are expected to improve, as cost savings, arising from the group’s restructuring programme are increasingly realised.”