Around 300 jobs are potentially at risk at prepared produce giant Bakkavor after the company lost a major contract to supply Tesco with mashed potato.
Bakkavor Meals London, a division of the North-London headquarted firm, has begun a 45-day consultation period with 280 agency staff, and 30 employees, although the final number of redundancies should be less than 100, the company said.
“For some time the business has been impacted by difficult trading conditions in a highly competitive market place,” a company statement said. “We believe that Bakkavor Meals needs to adapt to the changing market in which it operates to ensure that it remains and, where possible, becomes more competitive to deliver future growth.
“Bakkavor Meals appreciates that this is an unsettling and difficult time for everyone affected and would like to stress that this proposal in no way reflects the commitment and hard work of the employees at the site.”
A spokesperson for Tesco told the Guardianthat the retailer has been working to simplify the range of products in store. “As part of this process, we’ve had to make some decisions about certain products we stock. However, we still maintain our long-term partnership with Bakkavör across our fresh food category,” the spokesperson said.
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