The livelihoods of 163 staff and a further 100 agency workers at the Edinburgh Salmon Company are under threat.
The future of the Edinburgh Salmon Company (ESCo) based in Dingwall has been placed in doubt following an announcement yesterday by owners Européenne de la Mer, a subsidiary of Thai Union Group according to Press and Journal.
Thai Union Group subsidiary Européenne de la Mer has proposed the sale or closure of Dingwall, Scotland-based business The Edinburgh Salmon Company Ltd (ESCo), in light of the firm’s continued heavy losses of more than £7million.
Highly challenging market conditions
A spokeswoman for the owners said: “Despite ongoing review, significant investment and structural changes, ESCo continues to suffer heavy losses as a result of highly challenging market conditions and industry trends.
“The company will actively pursue and explore all viable divestment opportunities in an attempt to avoid, reduce, and/or mitigate the potential impacts upon its valued employees.
They were informed of the situation this morning
“Our employees at ESCo are our primary consideration.” She added: “They were informed of the situation this morning. We are now informing our customers and suppliers about the proposal, as well as community leaders and government representatives. If we are unable to find a viable alternative to the proposed closure we will then carry out individual consultations with at-risk employees.”
Echoing Pinney’s seafood plant (owned by Young’s) 2018 closure, ministers are calling on the government to step in to protect jobs.
Devastating news that @thaiuniongroup , the owners of The Edinburgh Salmon company based in Dingwall have announced the potential divestiture or closure of its operations. Just had a conversation with the general manager and have offered full support in finding a new buyer.
— Ian Blackford (@IanBlackfordMP) September 27, 2018
The company had in recent years lost two major customers including Pret A Manger as well as supermarket giant Asda to Young’s in 2014.
ESC was sold for £11.5million by J.W. Seafoods to Merinvest, the French parent of seafood firm MerAlliance, in 2013.
Then in September 2014, MerAlliance was acquired by Thai Union, through its Paris-based subsidiary MW Brands, whose portfolio includes the John West tinned salmon range