Closure of Glasgow car parts manufacturer puts 100 jobs at risk

A Glasgow car parts manufacturer is to close, placing about 100 jobs at risk.

Albion Automotive will shut on 4 October, after parent company American Axle & Manufacturing (AAM) decided it could not continue due to "long-term business with its largest customer not being extended".

In recent years the company had cut back on staff to try and save costs as it struggled with pricing pressures across the automotive industry.

The Scotstoun works has been part of the city since 1903, when it was set up by the fledging Albion Motor Car Company Ltd and made trucks and buses.

The company later changed its name to Albion Motors, before being taken over by Leyland Motors.

By 1980 the site was no longer making vehicles but axles, with the the automotive components part of the business transferred to the new Albion Automotives company after Leyland DAF entered receivership in 1993.

AAM Europe purchased the company in 1998.

Matt Kuta, Managing Director of AAM Europe, said: "We would like to express our sincere appreciation for the loyalty and commitment to AAM from all the associates in Glasgow over the last 26 years."

The Unite union said the news was a "major blow" for both workers and the local economy.

James O’Connell, an industrial officer with the union, said: “The loss of around 100 jobs the plant which has a 125-year history in Scotstoun is a major blow.

"Unite will continue to work hard to explore retraining opportunities and alternative job roles for our members because these highly-skilled workers are essential to our local economy.”