Type
Offshoring/Delocalisation
Country
United Kingdom
Region
Yorkshire and the Humber; East Riding and North Lincolnshire; Kingston upon Hull
Location of affected unit(s)
Hull
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10 - Manufacture of food products
New offshoring locations
Germany, United Kingdom

490 jobs
Number of planned job losses
Job loss
Announcement Date
11 January 2007
Employment effect (start)
Foreseen end date

Description

Nearly 500 jobs are being cut by food producer Birds Eye with the closure of its fish foods range factory in Hull. In a statement the company blamed what it called unsustainable capacity in its supply chain. It said its fish foods range would now be produced at sites in Bremerhaven, Germany, and Lowestoft, Suffolk. The company said 490 redundancies were involved, but the GMB union said it understood 600 jobs would be lost and described the announcement as 'grim'. John Wilson, the union's senior organiser, said: 'There's the knock-on effect that also needs to be considered and those working for supply companies will also be affected.' 'The only compliment I can give this company is that at least they waited until after Christmas for this announcement.' 'It's going to be very difficult for people to find new jobs in this area as the manufacturing industry in Humberside has been going through a difficult time. Any jobs they are forced to take will be at minimum wage and with minimum holiday and other benefits.' Employees were given the news during a morning meeting with chief executive Martin Glenn at the factory. Mr Glenn said: 'We have inherited a business that has unsustainable over-capacity. The frozen food market is increasingly cost-driven.' 'To be competitive you require large scale, highly efficient production facilities.' 'The future success of our fish category can be best served through the consolidation of our production facilities into our larger and more efficient sites in Bremerhaven in Germany and Lowestoft.' Ian Kelly, the chief executive of Hull and Humber Chamber of Commerce, said: 'This is very sad news. These are skilled and talented workers who have made a good profit for their business over the years and we hope a new buyer can be found.' Mr Wilson said union officials would be going in to the factory on Thursday to negotiate redundancy packages for the workers.


Sources

  • 11 January 2007: BBC News

Citation

Eurofound (2007), Birds Eye, Offshoring/Delocalisation in United Kingdom, factsheet number 64738, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/64738.