A MANUFACTURING firm in Fife has told staff that 90 jobs are at risk of being made redundant.
Greenfold Systems, a manufacturing firm based in Dunfermline, confirmed that a notice of risk of redundancy had been issued to its employees on Friday, according to The Courier.
The firm, which specialises in metal fabrication, cable and wiring along with assembly, said the decision comes following the announcement by one of its major customers, bus firm Alexander Dennis Ltd (ADL), plans to move its operation to England, closing its Scottish sites.
Reportedly, around half of Greenfold’s staff work on constructing the sides, interdecks and roofs of buses for ADL, with one of the three buildings owned by the Dunfermline firm dedicated to the work.
Earlier in June, ADL announced its plans to close its sites in Falkirk and Larbert and move its manufacturing to Scarborough, which would lead to around 400 jobs being lost.
Greenfold Systems managing director, Craig Waterson, told The Courier his firm was preparing for all eventualities.
He said: “What happens with ADL remains to be seen. We would, of course, like a clearer answer but we’re not going to get one any time soon.
“A communication has been issued to staff essentially telling them that their jobs are at risk as a result of the ADL situation.
“We will give another update when we know more. We are weighing up life with and without ADL.”
Greenfold was supplying parts for 12 buses per week to ADL a few years ago, but the number has gradually reduced to just five a week.
However, Waterson said the rest of the company’s order book was strong as he added: “It’s a difficult situation. We’ve got a good business but the ADL situation will affect us to some degree.
“We have a business continuity plan in the event of any customer pull-out. ADL is a sizeable customer.
“ADL have pulled out three times before and we’ve survived the previous three occasions, not without difficulty. The strength of the rest of our order book is good.
“We are under consultation with ADL and I hope that has a positive outcome.”
When ADL announced its plans to move manufacturing away from Scotland, the firm warned that for every job in bus manufacturing, there is a multiplier of three to four jobs in the wider supply chain and support services.
At the time, Paul Davies, Alexander Dennis's president and managing director, said the proposed plans were “extremely regrettable,” but added his firm “must take significant action” to drive efficiency.
MSPs were told this week the closure of ADL’s Scottish sites would be “catastrophic” for an area already struggling following the recent wind-down of Scotland’s last refinery in Grangemouth.
Appearing before the Economy and Fair Work Committee at Holyrood, Derek Thomson, the Scotland regional secretary for trade union Unite, said: “It’ll be catastrophic in Falkirk and Larbert to lose that amount of jobs.”
