ONE of the region's major manufacturers has announced that it is looking to pay off more than 50 members of staff.

Jedburgh-based Mainetti UK is looking for voluntary redundancies following a second year of reported losses.

Bosses at the Oxnam Road coat-hanger manufacturer are blaming recycling and a reduction in high street retailers as well as an increase in the minimum wage for combined losses over the past 24 months of more than £1 million.

Mainetti's Regional MD Jim Hutchison stated: "The last two years have been difficult for the business.

"In 2017 Mainetti UK Limited made a loss of £561,000 and this year we are forecast to lose a further £600,000.

"The business is faced with an ever increasing cost base with increases in the National Minimum Wage, higher electricity costs and higher business rates.

"To add to these cost pressures the business is seeing local UK demand for hangers reducing.

"Many retailers are closing down shops or reducing their selling space and this means there are less hangers required.

"In addition, an increased emphasis on recycling means more hangers are being returned from stores for resorting, which further reduces manufacturing demand."

Mainetti UK currently employs around 360 staff.

Talks have already started with unions over the planned 51 redundancies.

Mr Hutchison added: "These changes will only impact the Jedburgh hanger manufacturing unit.

"All other products made in Jedburgh – flower buckets, polythene bags, Glastic and The Seatcase will not be impacted and in fact the company will continue to invest in all these areas during 2019, in order to grow those parts of our Jedburgh manufacturing business."

Local MP John Lamont has been in talks with the company over the past few days.

He told us: “This is disappointing news from a long standing employer in Jedburgh.

“Clearly their market is changing and Mainetti are having to adapt to that. People are recycling hangers more and buying clothes online, meaning demand is falling.

“Even with these changes, more than 300 good jobs will still be based in Jedburgh, but it is nevertheless a big blow to be losing 50 in the town, particularly as the news has come so close to Christmas.

“I discussed this with senior management over the last few days and they have assured me that this process will be done gradually and in consultation with staff. The company will be looking to restructure via voluntary redundancies as far as possible.

"If any staff need support, I’d encourage them to get in touch with my office.”