140 jobs to go at major employer in virus cuts
Move will‘safeguard business’
ATOTAL of 140 jobs are set to be cut at a Hyndburn furniture manufacturer - one of the borough’s biggest firms - as the bleak effect of the coronavirus continues.
The Senator Group, at Altham Business Park in Altham, is cutting just under 10 per cent of its workforce as part of the company’s plans to “safeguard” the longterm future of the business.
The move comes as Universal Credit (UC) claims jumped by more than a third in April, as the economic challenge posed by the coronavirus lockdown continues.
TOM EARNSHAW BILL JACOBS
ATOTAL of 140 jobs are set to be cut at a Hyndburn furniture manufacturer - one of the borough’s biggest firms - as the bleak effect of the coronavirus continues.
The Senator Group at Altham Business Park in Altham is cutting just under 10 per cent of its workforce as part of the company’s plans to “safeguard” the long-term future of the business.
The reduction in staff will bring the workforce to around 1,300 employees, with around 45 per cent of staff currently still working on site.
A letter was sent to staff announcing the plans, detailing the impacts coronavirus has had on the business.
It reads in part: “Our doors are open for business but the demand from clients just isn’t there to the levels we need. The orders we do have are spread over a far longer lead-time than normal.”
It adds: “It is clear that the pandemic has effected and will continue to affect the UK and the World economy for the foreseeable future. We need to take decisions now that will put the business in the best place to survive the current downturn and bounce back successfully when the economy recovers.”
Managing director Robert Mustoe said: “As a result of the Covid-19 pandemic, we have been reviewing the structure of the business and feel now is the time to make some changes to safeguard the future of the business.
“We plan to adapt our working patterns and workforce numbers across the business to reflect how we see business levels towards the end of 2020 and into 2021.
“Senator is a healthy business and we remain intent on staying that way for many years to come providing a secure environment for our employees.
“We regret that we are going to be making 140 positions redundant as part of our restructure, but feel it is necessary at this time, this will reduce our workforce to 1,300 strong.”
It comes just weeks after Burnley aerospace giant Safran Nacelles announced it intends to make 250 staff redundant due to Covid-19.
Hyndburn council leader Miles Parkinson said it was a “sad” announcement, especially for those affected and their families.
He added: “It will have a big impact on them and their families. It will also have a big impact on local spending and the local economy. We just have to hope Senator can bounce back quickly and reemploy them after the current coronavirus crisis. Sadly I suspect that when people and companies go back to work after the lockdown, we will see a number of jobs at other firms being lost as a result of the crisis.
“We need local firms and the local economy to be in a position to bounce back.”