Published: Wednesday, 2nd July, 2008 07:00
Pringle announces factory closure
By Alexa Brown
Comments (0)
Print Article
LOCAL politicians have reacted with sadness and anger to the news that Borders-based knitwear company Pringle could soon close the doors of its factory in Hawick, a move which would see 80 local jobs cut and production shifted overseas.
The company, which has been manufacturing in the Borders since 1815, proposed the cuts as part of a cost-reducing scheme following total losses of around £9 million in 2007. It is thought that production could now be moved to mainland Europe where costs are up to a third cheaper.
Under the proposals, Pringle hope to retain 30 jobs in Hawick, in sales and administration roles.
Consultations will now be carried out between the knitwear company and the GMB Union in regards to the possible redundancies.
MP Michael Moore said: “Pringle has been synonymous with Hawick for generations and it is a tragedy that the manufacturing capacity should reach this sorry end.
“Every effort must now be made to support everyone affected and to understand any implications for other businesses in the town.”
South of Scotland MSP Christine Grahame added: “"If Pringle does stop manufacturing in Hawick this would be a serious blow for a town the size of Hawick. I sincerely hope Pringle can be persuaded to reconsider.
“I will be contacting the Finance Cabinet Secretary John Swinney and Enterprise Minister Jim Mather to appraise them of this situation and to see what assistance the Scottish Government may provide for Hawick. I too am ready as far as I can to assist the company and the workforce.”
Pringle was bought by the Fang family in 2000, who have since invested tens of millions of pounds in the business.
CEO Douglas Fang said: “We have to consider ways to improve the performance of the business and closure of the manufacturing operation at the plant is, very regrettably, something we must consider. Any decision to close the operation is not one we would take lightly, but due to changing customer demands and the competitiveness of the industry, we have to consider this possibility.”
But Councillor Vicky Davidson has slammed the disloyal attitude of the company bosses.
The Scottish Borders Council Executive Member for Economic Development said: “It would be very disappointing if they (Pringle) were to turn their back on the town that has made their name throughout the world. I hope they can be persuaded to reconsider.”
abrown@bordertelegraph.com
Del.icio.us
Digg
Facebook
Reddit
Stumbleupon
Pensioners have a Gala day