Profit-seeking Magnox aims to shed jobs

Magnox Electric will shed hundreds of jobs in a drive to double operating profits by 2000. Ray Hall, chief executive, told the 3,800-strong workforce the company would have to earn £200m a year from its operations by the end of the century – double its present figure. Hall said the improvement would be necessary to […]

Magnox Electric will shed hundreds of jobs in a drive to double operating profits by 2000.

Ray Hall, chief executive, told the 3,800-strong workforce the company would have to earn £200m a year from its operations by the end of the century – double its present figure.

Hall said the improvement would be necessary to justify the continued operation of the ageing Magnox nuclear plants after the company was integrated with British Nuclear Fuels.

Other factors will improve the company’s financial performance in 1997 – not least the return to service of its Sizewell A station, which was out of action for most of last year due to issues arising from a periodic safety review.

The operating profit figure does not take into account the annual charge to meet accumulated liabilities for decommissioning, waste management and reprocessing of spent fuel, which is expected to total £400m in the current year.