Jobs at Cumbrian Seafoods move closer to the axe

Posted on 3 Jan 2012
Fish and Chips

Young’s Seafood has announced that it is beginning formal consultations with staff over the future of Cumbrian Seafoods.

It will explore proposals and possible options for the facilities at the former Cumbrian Seafoods sites in Seaham and Whitehaven, and the Amble site used by its subsidiary, Border Laird.

The review follows Lion Capital’s acquisition of the customer contracts and equipment from Cumbrian Seafoods after the company went into administration on 5 December 2011.

Executives from Young’s Seafood, Lion Capital’s existing fish and seafood business, spent time at the former Cumbrian Seafoods sites during December, talking to staff and reviewing operations.

The executives decided that the business model for the Cumbrian sites was not financially viable and that restructuring is needed.

Integration and servicing of customer contracts by Young’s Seafood has been proposed. Young’s Seafood has announced that it will look across all of its own operations and the former Cumbrian Seafoods sites in order to carry out a lean restructuring of the business.

If this proposal is implemented, it could result in the loss of up to 363 jobs in Seaham, which produces a wide range of fish and seafood including white fish and prawns. A further 112 jobs in Whitehaven and 80 jobs at the Border Laird site in Amble are also set to be axed if the proposal goes ahead.

Pete Ward, chief operating officer of Young’s Seafood, said: “This move does not reflect on the committed and skilled teams in Seaham, Whitehaven and Amble, who are continuing to work hard through this time, which is a huge credit to the whole workforce.”

“However, it is clear from the fact that the business went into administration that the current business model is not viable. We continue to be focused on fulfilling customer contracts and talking, in detail, with the employees about options for the future.”