L'Oreal to cut 200 UK jobs
Cosmetics company L’Oreal today announced proposals to cut 200 jobs at one of its UK factories.
The plant in Talbot Green, South Wales, produces shampoos, conditioners and hair styling products, but L’Oreal proposes to transfer those manufacturing operations to France-based company Fareva.
Around 260 people are currently employed at the factory which has been making cosmetics for L’Oreal since 1973.
The company said in a statement that a decline in the UK supplier base meant 70% of its ingredients were imported. Also, more than two-thirds of its current production is then exported.
A spokesman said: “The combination of these two factors means that the factory is no longer sustainable from an economic, logistical or environmental perspective within L’Oreal’s manufacturing organisation.”
L’Oreal wants to transfer the manufacturing operations to Fareva around the middle of next year.
Production for the UK market would remain in Talbot Green to keep a proportion of the jobs at the factory.
Fareva has expressed its intention to develop the site significantly over the next few years, rebuilding it to current levels of activity and employment.
Those employees whose jobs become redundant will be offered help in finding new job opportunities within the L’Oreal Group or elsewhere.
Ieuan Wyn Jones, Deputy First Minister and Minister for the Economy and Transport, said: “This is very disappointing news. L’Oreal is a long established employer in South Wales and many of the people affected by this announcement have worked for the company for a considerable period of time.
“We will do everything within our power to protect these jobs, and a meeting has been arranged early next week with senior representatives from the company to discuss this announcement.”
Councillor Russell Roberts, leader of Rhondda Cynon Taf Council, said he was “deeply disappointed”.
He said: “There is obviously never a good time to suffer such a blow to the local economy but it goes without saying that when people are understandably worried about the current economic climate, this will be devastating for the staff who are affected.
“We will be making strong representations to L’Oreal management and working with the trade unions and colleagues in the Assembly Government to make the case for reconsideration.
“From the information we have, it seems that this is a cost-based decision and whilst I suppose this is an unfortunate reality in the business world, particularly in difficult economic times, this does nothing to reduce the impact on the workforce and the resulting hardship for individuals.
“As a council, we can assure people we will be doing everything we can to deal with this awful news.”
Plaid Cymru AM for South Wales Central Chris Franks said: “At a time when the economy is facing serious difficulties, this plan would put hundreds of workers out of work.
“I have asked for an urgent meeting with the company to discuss other possible courses of action.
“I have also been in contact with the Economy Minister Ieuan Wyn Jones and asked him to take all possible steps to avoid this huge blow for our local economy.
“It’s good to hear that L’Oreal believes it has come to an arrangement that will allow production to be re-started in this factory, but we must do all we can to avoid losing all this employment at this critical time.”
A three-month consultation period on the proposals has been set in motion.
