Rolls-Royce employs 42,000 people worldwide and estimates that the new plan will see around 2,000 to 2,500 made redundant. This amounts to about 6 per cent of its total workforce, half of which are in the UK, with a further 11,000 in Germany and 5,500 in the US. While it has not detailed exactly where the cuts will be made, its Derby factory that makes nuclear-powered reactors for Royal Navy submarines will not be affected.
The team responsible for product safety and engineering standards is expected to be unified across the business and will be led by Simon Burr, who currently heads the firm’s product development arm.
“The proposals include creating a new enterprise-wide procurement and supplier management organisation to support the consolidation of group spend, leverage scale and develop consistent best in class standards,” Rolls-Royce said.
Other functions such as finance, general counsel and people will also be brought together across the business...