A HISTORIC train works will close within months, owners have confirmed.
The gates will shut at the 160-year-old St Rollox Railway Works on June 1.
It is understood that 120 jobs will be lost, though some reports said this could rise to 200.
READ MORE: St Rollox Railway Works closure threatens hundreds of jobs
Owner Gemini Rail Services confirmed the decision yesterday in a letter which said that bosses "sincerely regret the impact this business decision will have" on workers and their families.
Read the organisation's statement below.
A consultation into the future of the site, which opened in Glasgow's Springburn district to serve the Caledonian Railway in 1865, began in December, when Gemini Rail said a drop in custom meant it could no longer afford to run the facility.
It is with sincere regret that Gemini Rail Services announces today that severely adverse market conditions affecting its core business means it will be closing down operations at its Springburn site.
Following this difficult decision, the company will proceed with a gradual closure programme completing existing projects before our final exit in March 2020. Gemini will continue to work with the Scottish Government and stakeholders over the site’s future use, including the possibility of a transport hub.
We of course know and accept this decision will have an impact on our workers, their families, and the wider community. Our priority now is to fully support our employees, who have been informed of the decision. The company has raised the opportunity of enhanced redundancy packages. We hope to be able to agree terms with union and staff representatives shortly.
Detailed consultations with employees and their representatives over some outstanding matters will also continue.
Following our initial announcement in December, the company held many meetings with key stakeholders to discuss ideas over the future of the Springburn site. This has included the Scottish Government, local politicians, Scottish Enterprise, Transport Scotland, ScotRail, industry experts, current customers and potential new ones, and the landlord of the Springburn site.
Unfortunately, despite this proactive and detailed programme of discussions, no solution was found and the Board do not consider that there is any viable option to sustain the operation at Springburn.
At all times, the company has explained in detail to all stakeholders that the situation facing Springburn is an accepted market condition which is the result of railway investment and technological advancement across the UK rail network.
Modern trains being introduced into service means numbers of pre-privatisation rolling stock – which provides Gemini with its core business – will drop from 6648 vehicles in operation in 2018 to just 1407 in 2024.
Compounding this is the fact that only approximately 10% of all accessible rolling stock is in Scotland and the North of England – these are the geographical areas which Springburn serves.
Senior management also detailed to stakeholders that losses at the company amounted to £1 million per month throughout 2018.
This is despite the hard work of management to win new contracts, and the unquestionable dedication of the workforce to deliver on them.
We would like to underline this is not a decision that has been made lightly and has only come after exploring all options.
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