Sun. Jul 3rd, 2022

Isle of Wight Observer News

The Island's Free Newspaper

Redundancies possible at composite company

1 min read

Composite manufacturing company, Gurit, based in Newport has confirmed that it is consulting staff over 14 redundancies.

A spokesman for the company said “Recent supply chain issues and accelerated raw material costs contribute to an extremely challenging outlook, without any favourable changes to be expected in the wider market any time soon”.

The spokesman continues:”The company has made progress in reducing production costs, increasing efficiencies, not replacing recent leavers freezing non-essential recruitment.

“All these previous efforts have helped to mitigate part of the burden for the business. Hence, both situations in conjunction mean it is no longer sustainable to continue making a loss within this part of our business.

“Therefore, we were forced to consider labour cost reductions to maintain a viable business presence in the UK for the future.”

“Gurit’s Newport management team will make every effort to facilitate this necessary change fairly, while continuing to service customers and remaining fully committed to maintaining a viable business in the UK.”

Staff were first informed of the intention to consult over job losses on May 12.