500 jobs at paper factory under threat Fears as owners go into administration
HUNDREDS of workers at a historic paper mill were last night facing redundancy after the factory’s owners fell into administration.
Staff at Arjowiggins Fine Papers at Stoneywood Mill in Aberdeen are reeling at the move by French parent firm Sequana.
They had already filed a petition to begin receivership proceedings for subsidiaries in France.
The 250-year-old mill has a turnover of £120million but 489 staff now face an uncertain future. Trade unions hope a buyer can be found.
Tommy Campbell, of Unite, said: “This is an anxious time for staff and for the local economy. Stoneywood has been a very successful business for almost 250 years, and these workers and their families deserve a future after contributing the most into making this site a profitable and continuous success for generations.”
Joint administrator Iain Fraser, of FRP Advisory, said: “Unfortunately, the business has been severely affected by rising costs. We will continue to trade the business while exploring all options for securing a future for the site.”
Local politicians have contacted business minister Jamie Hepburn urging him to help find a solution.
The joint letter was sent by MSPs Gillian Martin and Kevin Stewart, MP Kirsty Blackman and councillors Gill Samarai and Neil MacGregor. They said the news was “deeply concerning”, adding: “We hope that, with the support of the Scottish Government, a new buyer can be found as soon as possible.
“We will continue to do all we can to support the Scottish Government’s efforts to secure a bright future for the plant and the hundreds of jobs that depend on it.”