Fish & Seafood

Young’s Loss of Sainsbury Salmon Business May Cost 900 Jobs

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The loss of a £100 million contract to supply salmon products to the Sainsbury supermarket chain in the United Kingdom could bring the closure of several Young’s Seafoods processing plants in Scotland. The result would be job losses for more than 900 people employed at factories in Fraserburgh and Grantown on Spey.

sainsbury-logoThe Grimsby, England-headquartered company, the biggest frozen and refrigerated seafood specialty brand in the UK with roots dating back to 1805, has confirmed that it is consulting with staff about possible closures. If the plants are shut down, it is believed that existing facilities in Grimsby, Livingston and Annan would take on lower levels of salmon production, which would perhaps provide up to 200 new jobs.

“This process will not be easy, but we have to face some tough decisions,” said Pete Ward, the company’s chief executive officer. “As we move forward, we continue to be focused on providing our customers and consumers with high quality, good value fish and seafood, and we will talk in detail with employees about options for the future.

Young’s Seafoods, which lost the Sainsbury salmon supply business to Bergen, Norway-headquartered Marine Harvest, is trying to find a buyer for the main factory in Fraserburgh.

“During the consultation period, we are seeking input from all interested parties over what options are available to us and these views will be fully taken into account before any decision is made,” said Ward. “A sale of the Fraserburgh site and coldstore, in addition to other options, will be pursued and discussed as part of the consultation process.”

Meanwhile, the northeast port community is bracing for the negative impact that massive redundancies would cause. Some residents, fearing the worst, say that the area will be “devastated” if the closures come to pass.

“This is obviously a significant blow to the area’s economy and the ongoing regeneration of Fraserburgh,” said Belinda Miller, Aberdeenshire Council’s head of economic development. “It is disappointing that one contract relating to salmon can have such an impact on the UK’s largest white fish processing region, and a significant section of its skilled workforce. Although the decision by Young’s is hugely disappointing and unfortunate, we will continue to work with the firm where possible to investigate the options available.”