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Ink giant HP is sacking 850 people at its plant in Erskine, Renfrewshire because production of servers and storage devices is moving to the Czech Republic.

Some 1,300 people are employed at the plant. Staff are expected to be told the news later today; a spokeswoman for HP confirmed to the BBC that a meeting was being held this afternoon.

A source told the Daily Record: "Manufacturing of storage devices and servers at the Erskine site will be wound down between February and October next year. This will mean the loss of 70 permanent HP staff and 773 people employed at the site by Manpower.

"The move has come about because their production is to be relocated to the Czech Republic."

HP warned a week ago that more job cuts were coming when it announced second quarter results. The company made profits of $1.72bn on sales of $27.4bn in the three months ended April.

The plant was originally opened by Compaq in the 80s before being taken over by HP after the acquisition.

Three years ago HP shifted 250 jobs from Scotland to Pardubice in the Czech Republic. ®

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