Logistics And Frieght Forwarding

DB Cargo UK to cut 893 jobs and reduce rail fleet

20 October 2016

Rail freight operator DB Cargo UK is planning to reduce its workforce by 893 across the business and downsize its locomotive and wagon fleet. The company is also intending to revise the number and locations of its operational sites. DB Cargo’s latest move is in response to rapid changes that are appearing in the markets it serves.

The company said that the rail freight industry is facing unprecedented challenges with a fall in core markets such as coal. “It is imperative that the government intervenes to save skilled jobs in the rail freight industry, which are being butchered before our eyes.” DB Cargo UK CEO Hans-Georg Werner said: “Responsible and successful businesses must evolve and reshape as their markets change and sometimes this means making tough decisions.

“Whilst this is a difficult time for all of us at DB Cargo UK, reshaping the company will enable us to build a business for the future and protect the majority of jobs. “Our motorways and roads are becoming more congested and rail offers fast and clean supply chain solutions.” The company has not taken any final decisions at this stage and is planning formal collective and individual consultations to go ahead with the proposals.

Responding to DB Cargo’s job cuts proposal, UK transport union Rail, Maritime and Transport (RMT) general secretary Mick Cash said: “This is devastating news brought on through a combination of cut-throat practises in the UK rail freight industry and a shocking lack of government support for this key section of our transport infra-structure.

“RMT’s executive will be meeting this afternoon to consider our response but it is imperative right now that the government intervenes to save skilled jobs in the rail freight industry, which are being butchered before our eyes due to a lack of action to protect steel, coal and the rest of our manufacturing base.”

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