Federal Mogul threat to manufacturing jobs in Rochdale

Federal Mogul signs

US based Federal Mogul has just announced a consultation on the future of all manufacturing jobs at its Rochdale site in the Spodden Valley. 

A Federal Mogul spokesman has just commented:

“The proposal announced to our Rochdale site in no way reflects the hard work and commitment shown by our employees in trying to meet the needs of the business”.

“We have to compete globally with other manufacturers and, to do that, we have to reduce excess production capacity and consolidate our manufacturing facilities. We already have production capacity and expertise at other Federal-Mogul sites and so can supply customers from those locations”.

Federal Mogul took over Turner & Newall (T&N) in 1998. Other former T&N that are not part of Federal Mogul continue to operate from the Rochdale site. It is not known if manufacturing jobs are threatened at these companies. 

The Rochdale site was originally known as Turner Brothers Asbestos. All asbestos production ceased by the early 1990’s. Federal Mogul continued to produce non-asbestos automotive products and sealing systems in Rochdale. 

The entire 72 acre factory complex was sold in early 2004 to Heywood-based MMC Developments Ltd and Channel Island based company Rathbone Jersey Ltd. Countryside Properties (Northern) Ltd entered into an option agreement for the site in April 2004.

The manufacturing companies that remained on the site, including Federal Mogul, became tenants. It is understood that leases for the factory buildings were due to expire in 2007.

Controversy was sparked within weeks of the property developers taking over the site:

At dawn on a Saturday morning in May 2004, dozens of forestry contractors began felling acres of surrounding woodland. Federal Mogul played no part in the destruction of woodlands that surrounded the factory buildings.

The shock and disgust of the actions of the new landowners’ damage to the site caused the formation of the Save Spodden Valley campaign.

In December 2004, a planning application to demolish all factory buildings and replace them with over 600 homes, small industrial units and a children’s nursery was lodged by MMC Development Ltd, Rathbone Jersey Ltd and Countryside Properties (Northern) Ltd.

This controversial residential planning application remains on hold pending a review of the developers’ Environmental Impact Assessment. A Health Impact Assessment has recently been announced. 

Ken Smith, Head of Planning for Rochdale Council has stated recently that he does not envisage the planning application being decided in 2006. 

Save Spodden Valley Campaigner Mick Coats comments:

“Ever since MMC and Countryside Properties have come on the scene things have gone from bad to worse. How can manufacturing companies secure medium/long- term employment when they face eviction to build flats and houses on the site?”

Vince Kelly, now a consultant engineer based in Ireland, once worked at the T&N factory. He laments the opportunities lost for engineering and innovation in Rochdale:

“I started as a trainee in 1974, was paid though college to degree level and now consult in the manufacture of carbon fibre, a safe asbestos replacement. Carbon fibres are manufactured in Europe in Scotland, France and Germany, not "low cost" developing economies. So why not at the Rochdale site? Surely "high tech" industrial development is the way forward?”

Local Ward Councillor Elwyn Watkins comments:

“This part of Rochdale needs to retain high quality manufacturing jobs for local people. The Kingsway Business Park is years from coming fully on stream”.   

A Federal Mogul spokesman concludes:

“This is disturbing news for all our employees at Rochdale and we very much regret that we have had to put this proposal to our people.  We will keep staff fully informed of developments as the consultation process gets underway and make sure that they know what is going on.”