The company is a subsidiary of the Norway-headquartered self-adhesive labels manufacturer, which has 13 sites across Europe Asia and Africa, and has launched a 30-day consultation over its proposal to reduce its 73-strong workforce to 52.
The decision was announced to workers at a meeting on 5 November.
According to a source close to the company, the cutbacks are the result of the loss of a contract to print labels for consumer goods giant Unilever. The contract, according to the source, was responsible for “more than 50%” of the site’s printing and finishing capacity.
Skanem Liverpool is based on a 4,640sqm site in Bromborough, Cheshire, two miles from Unilever’s Port Sunlight facility in the Wirral.
According to a letter to staff, Skanem UK had “been actively discussing with Unilever the future of their contract" and the conclusion of those discussions signalled the start of a 30-day consultation period.
According to the source, following the discussions Skanem UK was told it was losing the Unilever contract. However, the company's statement did not reference Unilever and simply reffered to the restructure balancing "capacity in line with revised demand”.
While the statement said that all 73 staff at the site were involved in the consultation, according to documents seen by PrintWeek, a total of up to 21 roles are likely to be cut, predominantly in production.
Unite regional officer Sharon Hutchinson said: “We are currently in consultation with further meetings scheduled for the coming week. Unite is committed to minimising job losses, however if the company ultimately decides that job losses are necessary the union will ensure that affected workers receive the best possible redundancy terms.”
In the statement, Skanem UK managing director Mark Brownrigg said: “The decision to start consultation has not been taken lightly and we realise it creates significant uncertainty for all our colleagues at the Bromborough site.
“I want to reassure everyone who may be affected, that we are considering all the options open to us. While undergoing this process, we will continue to support colleagues and customers alike and remain committed to identifying the best course of action to secure, a sustainable future for Skanem UK.”
The statement said that the consultation was part of a “wider and ongoing” review due to “changes in consumer demand and challenging market conditions”. Consultations with Liverpool staff will be complete by early December.
Unilever Port Sunlight spokespeople were unavailable for comment.
Skanem’s UK presence consists of its Liverpool site and a facility in Cardiff. Accounts made up to 31 December 2017 show Skanem UK to have a turnover of £29.6m and a total headcount of 181 members of staff.
