A Scottish chicken processing firm has announced it is to make significant job cuts, with nearly a third of positions expected to be dropped.
The 2 Sisters Food Group has said that its site in Perth and Kinross, Coupar Angus, will likely lose more than 200 jobs. The plant presently employs around 660 people.
The company only took the site over in March of this year, along with 10 other plants, when food group Vion pulled out of Britain.
The workforce will be reduced following a consultation period and the cuts are expected to come early next year.
The firm has been hit hard since the downturn, as have many others in Scotland. With falling demand from consumers and a surge in the availability of chicken forcing prices down, 2 Sisters has failed to react.
Other companies in similar situations have survived by taking stock, re-evaluating their market positions and re-strategising their finances. Many have used facilities like factoring and invoice discounting, for example.
The company is also effectively closing another, smaller plant in Angus. The Letham site, though, has been saved, after 2 Sisters managed to find a buyer.
A statement released by the firm said:
“Today we are setting out a rescue plan for Scotland that will help secure the viability of the poultry industry and give us a better opportunity for future growth and success.”
It went on to say that the poultry market at a national level is also declining.