Partner Article

Premier Foods to cut 600 jobs

Premier Foods, the parent company to brands such as Mr Kipling, Hovis and Batchelors, have announced they will cut 600 jobs, as part of a drive to double cost savings.

The food manufacturer has plans to sell-off some of its non-core businesses and focus on what it calls its “Power Brands.”

Roughly 5% of the company’s current 12,000 strong workforce are set to be made redundant as part of measures to meet a cost reduction target of over £40m by 2013.

The company says it will continue discussions with its bank over a re-financing package, with the expectation that an agreement will be reached soon.

Michael Clarke, chief executive officer of Premier Foods, said: “We continue to deliver on our plans to stabilise the business and invest in our recovery and future growth.

“While decisions to reduce the workforce are always difficult, I’m convinced we are taking the right steps in the long term interests of the business, employees and our stakeholders.”

This was posted in Bdaily's Members' News section by Tom Keighley .