Kirkcaldy business Havelock Europa has announced it is to make around 50 redundancies within its workforce over the coming month.
Staff were informed of the decision earlier this week following news that the interior fittings firm had lost a multi-million contract with its biggest financial services client, Lloyds Banking Group.
According to Havelock, Lloyds had decided to substantially scale back on development and refurbishment of it branches in 2016.
David Ritchie, Havelock Europa’s chief executive, said: “Any decision to reduce jobs is an incredibly difficult one to take but we must respond quickly and decisively to this loss of income for the long-term good of the business and the wider workforce.
“We will, of course, do everything we can to support those colleagues affected over the coming weeks.”
Previously, in September, Havelock announced the loss of fifty jobs from its 500-strong workforce.
Responding to this week’s announcement Claire Baker MSP said it was “a further blow” to Havelock staff and the wider Fife economy.
“We all understood that the decision taken by Lloyds to scale back their order with Havelock would have serious implications for the company and raised fears that further jobs would be lost.
“That these fears have come to fruition is a huge disappointment and underlines the difficulty facing many companies in Fife at the present time.
“It is therefore vital that we all work together to ensure those affected by job losses have all the support they need in finding new employment.
She concluded: “In the meantime I will continue to speak and work with the company as they plan to diversify their business to ensure a sustainable future for their business and its remaining workforce.”