Aerospace sector prepares for rough ride

Source: FT

"British aerospace and defence companies have joined their manufacturing peers in pointing to a rocky 2009 for employees and investors, with job cuts announced at Rolls-Royce and BAE Systems. Sir John Rose, Rolls-Royce chief executive, has become known in policy circles as a champion of British manufacturing competence in the face of competition from lower-cost economies. Yesterday, he set out a year-long programme of tough medicine for the aircraft engine maker as it faces a long-anticipated slowdown in civil aviation. So far the company has set out specific plans for 140 job cuts at its assembly and test facility in Derby. But the supplier of engines and power turbines is seeking a headcount reduction internationally of 1,500-2,000 from a global total of 39,000." Next.