Bakkavor, the Iceland-based food group, is to restructure part of its UK business with a set of moves that could lead to the loss of 400 jobs.
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The company, which makes a range of fresh prepared foods and produce, plans to reorganise production at three sites in Lincolnshire.
Under the proposals, Bakkavor’s prepared produce operations at its Exotic Farm Produce site in Kirton would be moved to two sister sites. Exotic Farm’s whole produce business would remain open.
The company also plans to reduce the number of operational units at its Bakkavor Spalding site from five to four.
Meanwhile, part of the company’s ready meals production at its Freshcook facility on Holbeach will be moved to another site.
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By GlobalDataBakkavor said it had started consulting workers on the proposals but declined to confirm how many of the 2,000 workers across the three sites could be affected. However, it is understood that some 400 jobs could be under threat.
“These are challenging times for the food industry and the group remains cautious about the impact of worsening economic conditions on consumer expenditure on top of ongoing pressures from inflationary costs,” a Bakkavor spokesperson said.
“These proposals form part of Bakkavor Group’s wider restructuring plans announced earlier in the year to align its cost base, improve operational efficiencies and adapt to current and future demand.”
