GRIMSBY based Young’s Seafood today announced that it will close part of its Scottish operation with the possible loss of some 450 jobs.
The news came as the company signed three new contracts to supply M&S with chilled and frozen coated fish, natural salmon and white fish from 2018 to 2023.
However, the company said it had chosen to exit deli and meals production from its Pinneys site in Annan, as this production is no longer financially sustainable.
Following a review of its UK operations, the company proposes to move the remaining natural salmon production undertaken at the Pinneys site to Young’s existing natural salmon facility at its Humberstone Road site in Grimsby.
The move is part of its ‘One Young’s’ strategy, focusing investments on centres of excellence to ensure it is best positioned for future growth in ‘exceptionally challenging market conditions’.
Young’s Seafood said it will now commence a formal consultation with staff and their representatives at Pinneys as soon as practicable following the election of employee representatives to discuss and consider options.
‘During the coming months, the company will work closely with employee representatives and other appropriate organisations to ensure that we have a meaningful consultation before any decisions are made and that colleagues at Young’s Pinneys have all the information and support they need,’ Young’s said in a statement.
The proposed site closure would potentially result in the loss of 450 roles from the Young’s Pinneys site before the end of 2018.
Should these proposals be implemented, the company will need to recruit 200 new roles in Grimsby, in addition to recruiting up to 50 roles at its scampi factory in Annan to support growth.
‘If these proposals go ahead, employees at Young’s Pinneys will be provided with information regarding these new roles and will be given preference over new recruitment,’ the statement continued.
Bill Showalter (pictured), CEO of Young’s Seafood, said: ‘The decision by M&S to partner with Young’s to supply its chilled and frozen coated fish, white fish and natural salmon underlines our continued position as the UK’s leading seafood supplier. Together with M&S, we will aim to inspire people to love fish now and for generations to come.
‘Today’s proposals to close our Young’s Pinneys site does not reflect on the committed and skilled teams at Young’s Pinneys – they are a credit to our company and if these proposals do go ahead we will work hard to maintain the employment of all colleagues throughout this transition.
‘We have a long history of seafood production in Annan and whatever the outcome of the consultation we will continue to be a part of the community, given our other factory site within the town.’