Velux, one of the largest employers in Glenrothes, is to stop manufacturing in the town because transportation costs to Europe are too high, a senior company figure has confirmed.
Keith Riddle, the UK managing director of Velux Company Ltd, said 180 jobs are set to be lost because of the costs associated in transporting materials to Scotland from the continent.
The company confirmed its manufacturing business, Fife JoineryManufacturing, would close by next autumn with its distribution centre moving to the Midlands.
Speaking to The Courier, Mr Riddle heaped praise on the workforce andpromised the firm would do everythingin its power to help staff find newemployment.
However, he confirmed that in a global economy, operating from Fife was not cost effective.
“We operate 21 sites across Europe and that has evolved over 50 to 60 years,” he said.“It is not designed for the way we work today. The movement of parts is complex and expensive.
“This announcement is part of a pan-European restructuring that will move us from a large number of small units to a small number of larger facilities.”
Despite Thursday’s announcement, Mr Riddle was keen to emphasise thelong-term prospects for Velux are good.
This tied in with further news that the company was to create 30 jobs inGlenrothes as part of an expansion of its sales and marketing team.
The company’s UK headquarters will also remain in Glenrothes.
While admitting there was “very little” that could have been done to save themanufacturing jobs, Mr Riddle said the town’s sales staff were invaluable to Velux at this time.
“There we have nearly 600 years ofexperience of our products and customers,” he added.“It would be impossible to replace that anywhere else and having that experience of UK sales is critical to us.”
The Courier spoke to staff as they left the factory on Thursday afternoon.
“For the whole year we’ve beenbackslapped and told we were the best in the group,” said one man. “Now we get this.Everyone was shocked.”
The town’s MP, Lindsay Roy, said he was “devastated” by the announcement and has also offered his support to the workforce.
“I have been in touch with themanagement team and have offered my support and assistance in whatever way I can,” he said.
“Velux has been a very good employer in Glenrothes, manufacturing high-quality products. They have a very loyal anddedicated workforce.
“It is a devastating blow to Glenrothes and to Fife that apparently these jobs are going to go.“I am devastated for them.”