Aero-engine manufacturer Rolls-Royce has reportedly proposed to suspend its civil aerospace unit for two weeks this year.

The decision is part of the company’s strategy to manage costs as the coronavirus pandemic continues to impact the global aviation industry.

Several of the company’s airline customers have grounded their aeroplanes, which has led to a drop in engine demand.

In relation with this move, Rolls-Royce has already initiated talks with unions on the shutdown and cost-cutting at its civil aerospace unit.

The news was first reported by The Sunday Telegraph.

A Rolls-Royce spokesperson was quoted by Bloomberg as saying: “As part of the agreement reached with the union last summer, we agreed in principle to enter into negotiations about delivering a 10% productivity and efficiency improvement across our civil aerospace operations in the UK.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“We have now begun complex and constructive discussions with the union on how this can be achieved.”

If implemented, the measures will impact 19,000 civil aerospace workers, including 12,500 UK-based roles. However, there is no specific information on whether the shutdown would be restricted within the country.

Until the end of 2019, Rolls-Royce employed 51,700 people worldwide.

Last December, Rolls-Royce revealed plans to eliminate more than 5,500 roles by the end of this year.

The company aims to reduce its workforce by at least 9,000 roles by the end of next year, as part of a major reorganisation programme to protect its business.