Kensey Foods Collapses
Premium dessert offering
Kensey Foods makes premium dessert products, which have apparently become too expensive to make or to sell. The company has apparently run into losses of what a spokesperson called “tens of millions of pounds”. It seems that a large number of employees will soon be entering the recruitment system once again. If you are one of the affected workers losing your position, be sure to sign up for job alerts here so that you can be made aware of the latest opportunities as soon as they appear. The spokesperson was commenting on behalf of the Kensey Foods parent company, Samworth Brothers. They said: “It is with regret that we are beginning a formal consultation with our staff regarding the potential closure of Kensey Foods in Launceston. Despite significant financial investment and the commitment and hard work of everyone, Kensey Foods has now been loss-making for the last six years. When combined, the investments and annual losses have added up to tens of millions of pounds, and this is not sustainable for any business. In addition, the age and capability of the plant and assets have reached a stage at which significant additional capital investment is required, which is not commercially viable. It is proposed this closure would take place by the end of July.”
The spokesperson went on to add: “We understand this announcement will be difficult for our colleagues at Kensey. We will be doing everything we can to support them through this consultation process. In the event of a closure, it is hoped there will be opportunities for a good number of individuals to redeploy to our Callington bakery (The Cornwall Bakery) and there are also vacancies across our group in other locations. We would also work with the local job centre, employment agencies and local companies to help people find suitable new roles.”
Difficulty for local area
It is clear that this closure will cause a lot of difficulty for the local area. With over 600 people now looking for new jobs, either before July or immediately after the closure, there will be a lot of pressure and competition within the market. Any available roles at The Cornwall Bakery will likely be snapped up by the departing employees, meaning that they will no longer be an opportunity for other local residents. This will only increase the competition for any other jobs that appear in this location.
Some workers are likely to find themselves having to move in order to find work. With such a large reduction in staff, the problems will be far-reaching. The only hope for the local market maintaining its current workforce will be if another company purchases the site and looks to reopen soon afterwards, with perhaps a period of refurbishment as suggested by the company’s statement. Even in such a case, the incoming business would need to be in a position to hire a large number of staff and utilise them to run similar lines.
Cornwall has not been having a good year for the food industry. Two factories closed in 2018, one in June and the other in July. Crantock Bakery caused the loss of 109 jobs, while a further 105 were lost at Tulip’s former Bodmin site. You can search for jobs in Cornwall here, if you are interested in staying in the local area and remaining within the food and drink industry.