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Electronics Production | July 25, 2006

Remploy may reduce its EMS operations

According to electronicsweekly the UK Government owned manufacturing group Remploy may reduce its EMS operations.
According to electronicsweekly Remploy is likely to modernise its business and may quadruple its workforce which currently is about 9,000 employees but despite the increased business there may be a reduction in the electronics manufacturing.

"Based on its recommendations, McGuire has announced she is asking the Remploy board to put forward a proposal to modernise the business," a Remploy spokesperson told Electronics Weekly.

Anne McGuire, is the minister for disabled people in UK.

PriceWaterhouseCoopers report found that on average each factory-based person employed by Remploy costs £18,000 a year in Government subsidies. This could be compared with other Government-funded employment schemes that would cost £5,000 per person per year, and the Interwork programme costs just £3,400 per year.

"The report published today, along with that published by the National Audit Office last year, shows that simply keeping the status quo will neither help increase the number of disabled people supported by Remploy nor be a good use of public money," said McGuire.

"In the longer term we would expect any restructuring to help support significantly more disabled workers," she added.

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