One of Britain's oldest lighting plants may be closing down.
Following the acquisition of Cooper Lighting Solutions by Sinochem, electric giant Eaton may withdraw from the trunk lighting market in Europe, the Middle East and Africa, and may close the former Cooper Lighting and safety factory, which covers an area of about 50000 square meters in Doncaster, UK, which was acquired in 2012, foreign media reported.
The plant mainly designs and manufactures lamps and lanterns for commercial, retail, educational and industrial fields, with about 390 employees. About 300 jobs will be eliminated and the remaining 90 will be transferred to the emergency lighting system, which will continue to work in a separate location.
A staff member who returned to Doncaster after three months off called the announcement "the worst news.".
"After a strategic review of the business, it is regrettable that Eaton announced to its employees that it intends to withdraw from the EMEA trunk lighting business in Europe, the Middle East and Africa and to focus its activities at Doncaster on the emergency lighting and fire product line, as well as a centre of excellence for key support functions in the UK," Eaton said in a statement
"We believe that this proposal is most appropriate because of the increasing global competition and the continuing challenge of negative financial results, which make the trunk lighting product line no longer commercially viable. If this proposal is implemented, it will result in the closure of the existing Doncaster plant, withdrawal from the trunk lighting market, and the relocation of a smaller team to a new plant in the Doncaster area. " "We regret the impact this proposed restructuring will have on employees and their families and will take steps to ensure that all relevant personnel are taken care of and cared for in any action taken," Eaton said. Our goal is to help affected workers transition to new factories, new jobs or new occupations. "
It is reported that Doncaster factory is one of the oldest factories in the industry, initially began to produce Crompton brand lamps in 1878.
In 2000, Crompton lighting was acquired by Cooper Industries, which merged emergency lighting brands Menvier and JSB into one business unit to form Cooper Lighting and safety.
In 2012, American electric giant Eaton acquired Cooper Industries, including Cooper Lighting. Cooper has maintained its name for many years, but at the 2015 International Lighting show in New York, the company adopted the Eaton lighting brand.
In March 2019, Eaton announced that it plans to spin off its lighting business. Among them, its lighting business is an independent company of Cooper Lighting solutions, while the emergency lighting product lines of crouse hinds industrial lighting division and life safety division in Europe, the Middle East and Africa will remain in Eaton.
In October 2019, Sinochem announced the acquisition of Cooper Lighting solutions from Eaton, acquiring its assets and brands mainly in North America. But Doncaster's business was not included in the deal, it remained in Eaton's hands.
In recent years, the price and profit of commercial lighting products are under great pressure, including the continuous oversupply, competition from Chinese enterprises, and the narrowing of the difference of LED lighting products.