Staff from one of Wales' most popular bakery chains have received letters informing them that around 60 members of staff will face redundancy due to the effects of the pandemic.
Jenkins Bakery, which was established in Llanelli but now has chains all across south Wales, has said a drop in footfall and sales has meant it will be cutting jobs across its workforce of 300.
At the start of September, the bakery announced it had made the difficult decision to not re-open four of its shops - The Arcade in Ammanford, Parkway at Sketty Park, No6 Market Precinct and Sospan at 23 Stepney Street, both in Llanelli.
But now more measures are being taken by the company to ensure its survival, with staff facing redundancy for the first time in the company's 99-year history.
All staff across the remaining 26 branches received letters from the company last week announcing the 'difficult' news and the chain are now said to be in the consultation process with workers.
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Managers of the business say that they are open to suggestions from staff on how to avoid or reduce redunduncies or mitigate the consequences of job losses.
One member of staff who did not wish to be named said: "It's very sad when you've given a lot to a company and everyone is very anxious because it's difficult to get another job now because of Covid-19. I am worried but I know there are a lot of businesses struggling so I'm not surprised."
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Another member of staff said that they had been told that staff would find out if they were to lose their jobs by the end of October.
The business, which was established in 1921 in Llanelli, follows a long list of both local and national chains which have reduced their workforces due to the effects of Covid-19.
The hospitality industry has been particularly hard hit and companies such as Pret A Manger, Uppercrust, and Frankie and Benny's have all announced upcoming job losses.
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Yesterday it was also announced that the UK unemployment rate from the last quarter was the highest it's been in over three years at 4.5% and that according to the Office for National Statistics redundancies have risen to 227,000 - the highest level since 2009.
General manager for Jenkins, Richard Mynott, said: "This decision has not been taken lightly and was made only after considering all alternative options.
"However, due to a substantial loss of customer footfall since re-opening and a consequent drop in sales in the same period, the business must act now in order to ensure that it survives the current trading conditions.
"It is envisaged that there will be in the region of 60 posts which will be lost across our remaining 26 individual establishments.
"In his letter to staff, Mr Mynott added: "As a company, we would like to support you during what I am sure is a very worrying time and as such any employee who is selected for redundancy will be assisted in the creation of an up-to-date CV and provided with details of any financial assistance available for retraining through government schemes such as the Welsh Government's ReAct programme."
