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Pfizer to close with job looses not fully reported

Pfizer have announced the closure of it's Sandwich base and estimates the total job loses to be 2,400 which is a gross understatement.

While it might be true that Pfizer will be shedding two and a half thousand of it's own directly employed staff an estimated 3,000 additional jobs exist because of Pfizer but on paper, at any rate, they are classed as employees of contractors. Many is the story of workers whose department has been closed but have been left in the same job as outside companies take over the risk and cash flow side of things.

So when Pfizer say they are no longer going to be investing in Allergy & Respiratory therapeutic research at the cost of 2,400 thousand jobs what they mean is that they are closing the site at the cost of 5,500 jobs and at the expense of several other companies.

In case you are wondering the closure will take place over two years just in time for the road upgrades they asked for to be finished. Of course to not appear the bad guy they have made all the right noises about setting up "partnerships" to keep the site in use. MP Charlie Elphicke has, according to other sources, been going on about setting up a "Silicone Valley of the future" showing that he clearly does not understand the lack of fibre network investment that has been keeping the IT industry away from this side of Kent and Thanet particularly. This lack of investment has kept broadband prices high and speeds low in this area and makes Thanet and the surrounding area very unattractive to high end IT investment.

Thanet is like the IT equivalent of a village with a bus that runs once a week if the weather is nice. Even Simon Moores has spent the last six or more years telling us that Thanet Council's IT push is at best laughable and in this he is right on the money.

So boys and girls roughly one in 150 people or about 0.75% of the people of Thanet are all set to loose their jobs. Of those 3,400 are highly qualified people who like the rest of us highly qualified people are going to be competing for Thanet's overall lack of that kind of work. Canterbury might be a bit more up market but I can assure you that there is not a lot going on in that job market because I've been applying for going and it is usually going on a lot further away. Too far if I'm honest.

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Public Comments

Shinguard wrote:

I didn't realise just how many contractors were employed at Pfizer Matt, I imagine they'll be the first to lose their jobs, I can only think of one solution now, Government legalise cannabis and KCC can apply to grow it on the site. With patent of course.
01/02/2011 07:17:08 PM

Matt B wrote:

These are rough numbers because the figures are not easily available. It is plus or minus a big slice. I fear the number could be a lot higher.
01/02/2011 08:15:10 PM

Buy Low, Sell High wrote:

this is going to be a great opportunity. For far too long property prices have been kept too high in Thanet bolstered by Pfizer workers moving to the area and taking large mortgages beyond their means. Hopefully this will dump a lot of property on the market, either from those who get out of dodge, or have to downsize as they cannot meet their over-extended mortgage payments. As more and more are forced to rent this will be a great time for Buy-to-let opportunities as prices start to be slashed. Every cloud......
02/02/2011 04:53:42 AM

Marcus wrote:

Buy Low, Sell High - what a self interested nasty comment. 2,400 people with families to support and all you can think of is making a fast buck out of other people's misery. If you think property prices are high in Thanet, think again. Property is already very low and people will not sell if they are in negative equity.
02/02/2011 09:39:27 AM

Matt B wrote:

Some very mercenary thoughts going on here I see.

It is true that the housing market will be hurt and that there will be people sitting around waiting to make the most of it.
02/02/2011 12:53:44 PM

Marty wrote:

It will also affect a lot of social activities in the area. There are brass bands that I have played for in the past that have a fair few Pfizer employees playing for them. Those people may well move away.
The question I ask is, what opportunities does this provide for something new and innovative?
The docks in London became derelict and now we have Canary Wharf, Docklands railway and high value apartments in former dockland factories. I guess it takes some creativity and somebody with the wealth and balls to do something about it.
02/02/2011 07:04:33 PM

Matt B wrote:

Amen Marty.

Indeed if the site could be filled in short order with a mix of businesses not only could this crisis never happen again but the contractors would have a new industry to service. There might even be new opportunities for SMEs to service the businesses there
03/02/2011 01:07:42 PM

BD wrote:

What amazes me about the whole Pfizer saga is that nobody from TDC, DDC or the "action team" seems to have challenged Pfizer about their careful use of the word "redundancies" rather than "job losses" as a simple check with the Pfizer security team would reveal that there are currently somewhere in the region of 7000 active security passes - all of these pass holders will rely on Pfizer for at least part of their income (from the coffee shop workers to cleaners, catering staff and contractors/agency staff).

I have no allegiance to any particular polital party & appreciate that local politicians of all hues will want to do as much as they can to mitigate the impact that the Pfizer closure will have but do they really believe that they can persuade another multi-national company to fill the void?

Pharmaceutical research in the UK is a dead duck (just ask Astra Zeneca or Glaxo SmithKline) - the whole facility at Sandwich was purpose built for this task, if a change of use is indeed the best option (starter units, science park etc) who will pay for it? Will Central Government foot the multi million pound (re)construction bill?

Although Pfizer have stated that the site will shut down in 18-24 months the first 90 day consultation period is underway & who would bet against the first lay offs/redundancies happening soon after this period expires? It wouldn't surprise me if - within the next 12 months - we see only a few hundred people left on site.

I hope that I'm being overly cynical and that the concerted efforts of our local MP's, TDC, DDC, KCC and Central Government result in new, thriving employment opportunities to help the employees (both direct & indirect) of Pfizer but I have this horrible feeling in the pit of my stomach that in 18 months time all that we will have seen & heard is a lot of empty promises, missed opportunities and hand wringing - I really hope I'm wrong...
10/02/2011 04:05:29 AM

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