Keelings has announced a consultation period which threatens the jobs of packhouse workers at its site in Essex.
The 16 members of staff who work in operations are under consultation, with the packhouse scheduled to be closed mid-June. One option on the table is a possible move to Kent-based Cross & Wells - an independent third-party service provider specialising in production, storage and ripening.
A Keelings spokesperson said the firm, which specialises in pineapples and melons, had worked so closely with its supply partners and improved the quality and supply chain to such an extent that a major proportion of product is now delivered direct from source.
Steven Fagg, MD of Keelings Fresh International, said: “At Keelings, we’re committed to teamwork and we’re working closely with everyone here at Harlow. This is still a work in progress, and there may be some downsizing, but nothing has been finalised yet. The team are being kept up to date with the progress. However, this will be a significant change as this is a landmark in our business and I am certain this is the right decision for us and the Keelings Group as a whole.
'Under consultation the staff have an opportunity to present a different option to our plan which must be fairly considered. Therefore they are at risk of redundancy, though during the consultation process we will also explore possible transfers to Cross & Wells or elsewhere within the group.'
Caroline Keeling, CEO of Keelings, added: “Steven and the entire team at Harlow have worked very hard to improve the operations at the facility and have produced industry-leading efficiencies. This is a strategic move in support of our customers’ changing needs and our new business model allows us to compete effectively in a dynamic and challenging marketplace.'
The 22 employees who make up the commercial and support team will remain at Harlow, transferring to new offices on the sale or lease of the current site, which is expected to happen in the near future.
The new model has been in development for over two years. The firm is hoping that the move will better position Keelings for future trading opportunities, and enhance the service to its existing or new customers and growers.
Fagg added: “Our share of the melon and pineapple business is growing and our new model will ensure our continued competitiveness whilst at the same time allowing us to be flexible, lean and nimble in a changing market.'
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