The Derby poultry factory owned by British businessman Ranjit Singh Boparan is set to stay open following news of its intended closure back in August.
The Shaftesbury Street site had been experiencing sustained financial losses, which on top of current volatility had proved too damaging to come back from. A decision to cease operations by the end of the year was made thereafter.
But in an unexpected U-turn, the business has announced it will now reverse the decision. The good news comes as a result of a new anchor customer, with the additional volume set to provide the operational demand needed to keep the Bernard Matthews factory going.
The business has said the focus for the site will now be on “stabilising” the Derby team following this period of uncertainty and embedding its new customer under the leadership of 2 Sisters Food Group.
While this means around 400 jobs previously at risk have been saved, up to 150 roles remain at risk of the boot.
The business has said it will re-enter consultation and do “all it can” to support those impacted, including continuing to work closely with local agencies and Derby South MP, Baggy Shanker who had been supporting the business alongside regional USDAW representative, Sharon Khiari.
“This is very positive news for the Derby community and for the hundreds of colleagues whose jobs will now be saved,” a spokesperson for Bernard Matthews said.
“We are pleased to confirm that the Derby site will remain operational, and securing this new customer provides a stronger foundation from which to build a sustainable future.
“We would like to thank our union and employee representatives for their support and constructive engagement throughout this process, and we are grateful to Baggy Shanker MP for his continued support.”
Baggy Shanker, Derby South MP, added: “This is a huge relief for hundreds of workers and their families, and positive news for Derby. Keeping around 400 people in work is an important outcome. This agreement provides a strong foundation for the future of the site, supporting continued investment and secure jobs in Derby for years to come.
“Since the proposed closure was announced, I have worked with employees, USDAW and the company to protect jobs and secure a future for the site, alongside Cllr Balbir Sandhu and Cllr Gurkiran Kaur. It is welcome that discussions with the company continued even after the original closure decision was made, and that those talks have now resulted in a way forward for the site.
“For those moving into other roles, I am working with the Department for Work and Pensions to identify employment and training opportunities and ensure they receive the support they need.”
