Capespan has confirmed that it is relocating its Livingston-based independent Scottish retail trade division to another central Scotland site and plans to close the Livingston multiple packing operation.

'The restructuring which will take place over the next three months follows a comprehensive review of our production and distribution facility at Deans Industrial Estate in Livingston,' said a company spokesman.

'We are looking at several possible sites in central Scotland to which we could relocate retail and we are totally committed to retaining this division.' However, the multiple packing operation has sustained losses for several years and will be forced to close with redundancies. Capespan attributes the closure to southern hemisphere and European suppliers packing more product at source which has reduced the volume throughput at Livingston.

'Unfortunately we have had to inform our employees that a significant number of jobs, the vast majority within multiple packing are at risk of redundancy,' said the spokesman. The company is working with employees, unions and workforce representatives to communicate the full implications of the announcement and is setting up jobs shops and providing outplacement support.

Capespan director Martin Dunnett said that a consultation process was underway with employees and until that is complete, no further details can be issued.