Sonae Industria (UK) Ltd will not confirm or deny a production halt and highlighted that the company was still in a 90-day period of consultation with staff about the factory’s future. But reports coming from staff at the plant appear to show a readying for closure.
Alastair Kerr, director-general of the Wood Panel Industries Federation, said his understanding was that particleboard production had now stopped, though he emphasised that this didn’t mean Sonae’s business had stopped at Knowsley.
“It’s a very difficult situation and I feel very much for the employees and their families if the decision taken after the consultation is to close,” he said.
The Liverpool Echo has reported that letters had been given to some staff outlining redundancy payments should the factory close.
The last delivery of recycled wood raw material was reportedly delivered on September 5, according to Letsrecycle.com, and the wood used shortly after.
“We are still consulting on what is a very complex and sensitive situation,” said Sonae in a statement. “It is important to respect our employees during this difficult process until a final outcome has been reached.”
Official consultation on the 500,000m3 capacity plant’s future is due to finish in October. When consultation was launched in July, due to difficulties obtaining planning permissions for rebuilding following a major fire last year, Sonae said its intention was to continue supplying the UK market.
