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March 12, 2019

Job losses likely at Kavli Group-owned UK pate maker Castle MacLellan

A UK pâté maker owned by Norway's Kavli Group, has announced potential lay-offs at a factory in Scotland.

By Leonie Barrie

Castle MacLellan Foods, the UK business owned by Norway’s Kavli Group, has announced potential lay-offs at a factory in Scotland.

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The pâté producer has blamed a “changing and challenging market” for its decision to implement changes at the Kircudbright facility where it employs 105 people.

In a statement the company said: “Castle MacLellan can regretfully confirm that, following a difficult 2018 which saw a decline in sales as a result of a changing and challenging market, it has proposed a number of operational changes to its business, including potential colleague redundancies and changes to working patterns.

“At this stage, no final decisions have been made and Castle MacLellan will be consulting both the Works Committee and its colleagues to seek ideas and ways of reducing the likelihood of compulsory redundancies, including part-time job sharing and voluntary redundancies.

“While Castle MacLellan is incredibly disappointed to have to consider taking these steps, it will continue to invest in new product development and automation projects to ensure it is in a stronger position after this difficult period.”

Elaine McConnell, general manager at Castle MacLellan, added: “This has not been an easy proposal to make. 2018 was a very challenging year both for the business and the market, and in order to build the business back to full strength, we have to put a plan in place. 

“It’s important to reiterate that no final decisions have been made and we welcome any ideas our colleagues have as we begin consultations over the next few weeks.”

Products made at Kircudbright include Smoked Salmon Pâté, Roasted Mushroom Pâté and Smoke Duck Pâté. 

Castle MacLellan’s parent, Kavli Group, is also the owner of the Primula Cheese brand.

Related Companies

Free Whitepaper
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What is the impact of historically high inflation on the UK consumer landscape?

The average UK consumer is experiencing a severe cost-of living crisis as inflation surges to a forty-year high and the price of goods continues to rise. This shock is the result of the sharply increasing costs of commodities, energy, and the ongoing conflict in Ukraine, and is threatening FMCG manufacturers, retailers, and foodservice operators’ ability to survive and grow. Inflation will have a profound effect on many consumer-facing industries in 2022 and beyond. Consult GlobalData’s new whitepaper, Inflation in the UK: The Impact of Historically High Inflation on the UK Consumer Landscape, to better understand shifts in consumer behavior and their impact on spending patterns, as well as the implications for UK businesses. This whitepaper covers:  
  • Why has global inflation returned with a vengeance?
  • What is the current inflation situation in the UK?
  • What impact is inflation having on UK retail sales?
  • What tactics are businesses relying on to tackle the effects of high inflation?
  • How are consumers changing their behaviors to cope with the higher cost of living?
  • Which industry sectors are most vulnerable to reduced consumer demand?
  • How is the government responding to high inflation?
  • How long will high inflation last in the UK?
  • How can your company survive and thrive in a high inflation environment?
Enter your details here to receive your free whitepaper and ready your business for these increasingly uncertain times.
by GD50 Custom
Enter your details here to receive your free Whitepaper.

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