10 jobs could go after loss of major customer
Smith Anderson Group Ltd, at Kirkcaldy’s Mitchelston Industrial Estate, is being forced to make up to 10 of its staff redundant over the coming weeks.
The company, which manufactures paper bags and packaging, made the announcement to its staff at a meeting recently.
Michael Longstaffe, the group’s chief executive advised all staff that, further to the bankruptcy of one of its larger foreign customers in Norway, the company had been unable to find replacement business for the contracts lost.
“We will now have to reduce our production capacity, which regrettably means we will have to reduce our workforce,” he said.
The company stressed the reduction would be no greater than 10 employees from the 200 strong workforce, now based in their new facility in Kirkcaldy.
“We are appealing to our staff to apply for voluntary redundancy and hope to achieve the required reduction through this process.”
Working closely with Unite union representatives, a consultation process began on the January 13 and the company stressed its desire to provide as much care, assistance and support as possible during what is a very challenging time for all those affected.
Further meetings with Unite will take place this week in the hope that a voluntary solution will be successful. If this is not possible a selection mechanism will be determined as part of the consultation process.
Mr Longstaffe added: “Smith Anderson has had a successful year, and it was a cruel blow to be hit with a bad debt totally outwith our control in December.
“Management and union remain united in our desire to find the most painless solution to what is a difficult, but hopefully singular issue.”