Firms Back In Camp With Staff Brexit Warnings

Some of Britain's biggest employers are responding to pleas from David Cameron to warn staff of the risks of leaving the EU amid growing unease among In campaigners just ten days left before the referendum.

Sky News has obtained comments made on an internal website last week by Ian King, the chief executive of BAE Systems (LSE: BA.L - news) , in which he warned of "a period of uncertainty" if the UK votes to leave.

Mr King said that it was up to individuals how to vote, but added: "From early on we have made clear our company view that remaining part of the EU provides greater stability and certainty for the business," he wrote on the company's intranet.

"If the UK votes to leave the EU, we would almost certainly enter into a period of uncertainty as the details are worked out."

Mr King's message follows a concerted effort by the Stronger In campaign and groups such as the CBI to encourage employers to engage with their workforces ahead of next Thursday's referendum.

A memo sent several weeks ago by the chief executive of Barratt Developments (LSE: BDEV.L - news) , the housebuilder, to its 6,000-strong workforce argued that Brexit could exacerbate the UK's housing crisis.

"While we are working hard to increase the supply of new homes to help solve the UK’s housing crisis a vote in favour of Brexit would potentially diminish the prospects of sourcing labour from this route - at a time when our industry is struggling with a skills shortage," Barratt's chief executive, David Thomas, said in the note to staff.

"In wider terms, it is probable that the uncertainty created by a vote to leave the EU would - in the short term at least - have a negative effect on investment and the wider economy, both of which have the potential to seriously impact the construction and housebuilding sector."

As Sky News revealed at the weekend, BT Group (LSE: BT-A.L - news) has taken the unusual step of joining forces with its trade unions to tell 81,000 employees that leaving would pose significant economic risks.

On Monday, the former Trade and Industry Secretary Peter Lilley, who is campaigning to leave the EU, criticised the BT memo, accusing the company's chairman and chief executive of abusing their positions to advocate remaining in the bloc.

"Few companies are less affected than BT as far as their day-to- day business is concerned by whether Britain is in or out of the European Union," Mr Lilley said.

"There are no tariffs or obstacles on phone calls in or out of the EU. So why are BT bosses trying to cajole their staff to vote to remain in the EU?"

Such criticism is among the reasons why some company bosses have been reluctant to express views on either side of the referendum debate.

However, a growing number are responding to the Prime Minister and the broader 'In' campaign by highlighting what they perceive to be the economic risks of leaving.

Among the other companies which have written to staff in favour of remaining in the EU are Airbus Group (Swiss: AIR.SW - news) , BMW (Swiss: BMW.SW - news) , Citigroup (NYSE: C - news) and Siemens (BSE: SIEMENS4.BO - news) .

Bosses taking the opposing stance include Lord Bamford, the chairman of construction equipment manufacturer JCB.