Duraweld to cut 10% of its workforce

Stationery manufacturer Duraweld is to cut up to eight jobs from its 70-strong workforce to address changing market needs.

Duraweld managing director Mark Yeung said that a "changing approach to working in sales and marketing" had led to the decision to make marketing manager Jane Harper redundant.

Harper worked part-time for the Scarborough-based company for five years and has been made redundant along with a sales executive, an employee from the business development department and one student intern.

She said: "I’m not sure of the rationale, only that the company needs to be profitable. I can only think they have prioritised profitability over growth as our market sector is mature."

Sales manager Angie Franksen has decided to leave of her own accord as part of a mutual decision with the company. Yeung will take on Franksen’s responsibilities until a suitable replacement sales manager is found.

Yeung said that the phased programme of redundancies, which could see up to four other jobs being cut, was necessary to create a "more efficient business able to operate in a very competitive market place".

The redundancies over the coming months will be joined by price increases across specialist low volume and short lead-time orders.

Yeung said: "To maintain a sustainable business we have to reflect production costs and adjust our prices accordingly, but we will reward higher volume and repeat orders placed by our Platinum customers.

"We are currently investing in new equipment to ensure we continue to make all our practices as efficient as possible."

The company is investing a "significant amount" in IT systems and robotic equipment to enhance administrative and production efficiency.

It will also be advancing its paper over board production cell, which has seen a seven-fold boost in sales over the past year.

Yeung said: "We expect to see a strong return on investment on these new systems and are confident it will make a positive impact on our overall efficiency and continued ability to produce high quality products."

Harper, whose contract will end on 20 September, added: "I really hope the company goes on to flourish – I have really enjoyed my time working there. Hannah (Senior, Duraweld chief operating officer) and Mark are inspirational leaders, I’ll miss them."