Thirty-one staff have been made redundant at Berwick-based high performance joiner Allan Brothers.
The losses are lower than the 50 originally anticipated by parent company Palgrave Brown in March (TTJ March 10). They are the result of the introduction of new manufacturing processes which have improved productivity and led to overstaffing.
The job cuts come a year and-a-half after Palgrave Brown bought Allan Brothers for £2.7m, and are against a background of a 14% year-on year sales increase.
Employees at Allan Brothers have also accepted new working practices, including a new bonus system, monthly salaries and a working week of five equal days.
Palgrave Brown’s managing director Richard Fawcett said: ‘Allan Brothers is a good name and operates in a competitive market, but no business can afford to stand still if it is to retain a leading industry status.
‘It was clear that we needed to make some changes to ensure the company is in the best position to compete, grow and secure the employment of its workforce.’
