Hundreds of jobs are to go at Burton’s Foods after the Jammie Dodgers maker announced the closure of its biscuit factory in Moreton.
The closure will result in 342 redundancies and is the result of a cost-cutting review into the company’s supply chain.
A further 70 redundancies are expected at the group’s Llantarnam site following the introduction of new flexible working terms.
Burton’s also announced plans to outsource chocolate refining at Moreton, subject to commercial viability and the consolidation of its Knowsley multi-site distribution operations into a single new location.
The company is to invest £7m at Edinburgh and Llantarnam to develop its chocolate biscuit manufacturing capability.
That forms part of a £25m three-year spending plan to build Burton’s production capabilities, with the aim of keeping most of its manufacturing in the UK.
The company will now begin a period of consultation with affected employees and their representatives.
“Today's announcements recognise the need to transform our supply chain,” said Burton’s Foods chief executive Ben Clarke.
“The proposed job losses are deeply regrettable but along with the new £25m investment we are making in our UK manufacturing capability, will help deliver sustainable profitable growth for the company in a highly competitive and challenging market.”
Dodgers gets its first redesign in a decade (6 November 2010)
Burton’s Foods hires ‘top sales operator in Europe’ (27 March 2010)