Kodak to shed 600 jobs in UK

Eastman Kodak has announced it is to cease graphic arts film production in the UK by the end of March 2005, with the loss of some 250 jobs.

The move is part of a wider cull which will amount to around 600 job cuts, as part of its three-year plan to reduce worldwide staffing levels by between 12-15,000, announced at the beginning of the year.

 

This will reduce its worldwide workforce by a fifth at a cost of up to 922m in restructuring charges.

 

In the UK, Kodak's factory at Annesley in Nottingham will close by September 2005 with the loss of 350 jobs.

 

The facility is the second largest Kodak film finishing factory in the world, and is currently celebrating its 25th anniversary.

 

Kodak's site at Harrow that sensitizes graphic arts film, applying light-sensitive emulsions, will close by the end of March 2005, affecting 250 staff.

 

A spokesman for Kodak said production would transfer to existing production sites at Rochester in the US and Mexico.

 

Graphic arts film production is also handled in China.

 

The move had come about as result of a change and decline in consumer demand, said the spokesman.

 

However, he was unable to provide any figures on the decline in graphic arts film.

 

The Harrow site will remain a major centre for the production of colour photographic paper, and will also become its UK operations headquarters.

 

This will involve the transfer of around 300 support and business unit staff to Harrow from the company's head office in Hemel Hempstead.

 

Some 350 staff will remain at the Hemel site.

 

These will concentrate on health, consumer and marketing operations, and the site will also handle the group's IT and finance facilities.

 

The Harrow plant will remain the group's main manufacturing site in the UK, and will continue to employ about 1,400 staff in manufacturing, support, research and business unit positions.

 

Kodak, like rival Agfa, is having to change its business model to cope with the switch from analogue to digital products. In August Agfa announced that it was selling its loss-making Consumer Imaging division. See earlier story here.

 

Story by Andy Scott