Elland-based Marshalls enters consultations as it looks to cut around 400 jobs

The Elland-based firm said there are potentially up to 400 positions representing 15 per cent of Marshalls total workforce, that may be impacted as a result of the proposed changes.

Marshalls has seen a sharp drop in demand as a result of the coronavirus outbreak.

The firm's board and executive management have agreed to a 20 per cent reduction in remuneration. Senior managers in the business have now also agreed a 15 per cent reduction in their remuneration.

Marshalls is also utilising the Government's scheme which allows the deferral of tax payments as well as furlough arrangements.

In a statement, the paving specialist said: "We have now taken further steps to restructure the group's operations.

"We have entered into consultations with employees across the group as part of a series of restructuring proposals that cover all parts the business.

"These proposals include selective site closures, changes in shift patterns and proposed changes to the size of and structure of support functions.

"There are potentially up to 400 positions representing 15 per cent of Marshalls total workforce, that may be impacted as a result of these proposed changes.

"We are reopening our plants as demand returns. The nature of the concrete manufacturing process means our facilities have low re-start time and cost requirements.

"This flexibility and our improved efficiency means that capacity will not be materially reduced by the proposed changes and we will continue to satisfy our customers' requirements."

As a result of the covid-19 crisis, sales in the first four months through to April 30 were down 27 per cent at £131m, from £180m the previous year.

Sales activity took a steep drop in the last week of March and throughout April, the firm added.

However, In the early part of May it has seen daily levels of activity progressively improve and is currently at around 50 per cent of its daily revenues compared to the same period in 2019.

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