UP to 40 jobs are facing the axe at Scarborough’s McCain factory as the chip manufacturer announces changes in production.
McCain Foods, which employs around 1,000 people in the Scarborough area, is looking to make the changes at its Cayton site following a decline in pizza sales.
Under the moves production will alter from baking and topping pizza to baking potatoes.
The proposals, announced today, may involve up to 40 job losses according to bosses.
They say the plans are in light of the success of the firm’s recently introduced Ready Baked Jackets range, and could see “significant financial investment” from the company to convert the current Prepared Foods facility.
Manufacturing director Alan Bridges said: “The scale of work required means decommissioning the current unit and extensive installation of new equipment in this part of the site.
“As a result, we have met with employees today and made preparations for a period of consultation because, regrettably, up to 40 jobs may be at risk of redundancy.
“The exact number will become clearer once the consultation takes place and all options for suitable alternative employment have been fully explored.
“Despite our best endeavours to grow our pizza business over recent years, we continue to experience declining volumes in an increasingly competitive market place and this trend means in-house pizza production is no longer financially viable.
“At the same time, demand for our new Ready Baked Jacket Potatoes is growing, so we want to move quickly and seize the opportunities that presents for growth and future jobs. This new production facility would be in addition to one already operating very successfully in the West Midlands.
“We fully appreciate that the uncertainty caused by this proposal will be unsettling for those potentially affected, so our focus is on open communication. Throughout the coming consultation process, we will continue to treat all employees with fairness and respect.”