Approximately 225 jobs could be lost at Forterra plc, the Northamptonshire-headquartered producer of manufactured masonry products, under new proposals to mitigate the impact of COVID-19.
In a trading update the firm has revealed that group revenue declined by 39% for the five months to 31 May 2020 compared with the corresponding period in 2019, with a year-on-year decline of 86% in April and 62% in May.
Meanwhile, output in 2021 is forecast to be approximately 20% lower than in 2019.
As a result the company is taking steps to restructure operations in line with the anticipated decline in demand.
Forterra said: “In the coming weeks we will consult with employees on our plans, which include proposed changes to shift patterns and adjustments to the size and structure of support functions.
“Additionally, these proposals include consolidating the manufacture of all precast concrete flooring products at our Hoveringham facility in Nottinghamshire. This proposal will necessitate the mothballing of our hollowcore flooring manufacturing facility at Swadlincote in Derbyshire once the current order book is completed.
“These proposals will not affect our ability to service key customers or our specialist precast concrete facility at Swadlincote. These actions, if implemented, will regrettably lead to the loss of approximately 225 jobs, primarily from our concrete products facilities.”
Forterra is currently manufacturing at twelve of its eighteen facilities and is preparing to further increase production as demand requires. It anticipates recommencing production at most of its remaining facilities by the end of July.