Remploy Automotive has been acquired by Rempower, an Arlington Industries Group company.
The move saves the jobs of 217 employees – 179 of whom have disabilities – across three sites in Coventry, Birmingham and Derby
Remploy Automotive is currently part of the Remploy Group, an initiative sponsored by the Department of Work and Pensions to provide on-going employment for disabled people.
The sale follows the government’s announcement in March 2012 that it was withdrawing subsidy for Remploy’s factory-based businesses and that they should be sold or closed.
Arlington Industries Group’s David Roberts, said: ‘Remploy Automotive’ skillbase and resources will become a critical piece of our strategy to supply Tier 1 supply chain clients in the automotive and aerospace sectors.
‘By opening up Remploy Automotive’s services to a wider customer base, we fully expect to see significant benefits for Remploy Automotive and Rempower.’
According to a statement the group will introduce an apprenticeship scheme to ensure that the workforce continues to grow.
Prof Kevin Morley, incoming chairman of Rempower said: ‘As well as employing disabled personnel, we have a strategy in place to offer the young and ex-military personnel the opportunity to build long-term careers in the automotive components sector, through our new apprenticeship scheme.’
Products and services offered by Remploy Automotive cover assembly and testing; aftermarket kitting and packing and nylon tube forming for vents and breathing tubes.