Oscar Mayer is considering downsizing its UK factory in Wrexham to ensure a sustainable future for its chilled ready-meals business. The company is facing the potential loss of 135 jobs at the plant, but also plans to create 101 new positions. By encouraging workers to apply for these roles, the number of redundancies could be reduced to 34. This move follows a similar decision to downsize a facility in Flint, with some employees at risk of losing their jobs while others may be transferred to Wrexham.
In its most recent accounts filing, Oscar Mayer revealed plans to cut 128 jobs in Flint and transfer 60 positions to Wrexham. The company reported a £22.1m net loss in the financial year, wider than the previous year’s loss. Despite these challenges, Oscar Mayer announced the appointment of a new CEO, Ian Toal, as the company navigates changes in the chilled-food market.
Toal emphasized the necessity of these proposals to ensure the company’s long-term viability in a competitive sector. He stated, “For us to continue to compete and grow, we have to become more efficient to deliver on our strategy to innovate, expand the market, and meet consumer demands.” Oscar Mayer supplies major UK supermarkets and Aldi with brands like The Gym Kitchen and Fit & Prepd.
The company faced resistance to price increases, although these contributed significantly to group turnover. Operational improvements and price increases have helped improve profitability. However, Oscar Mayer noted margin pressures from inflation delays and a reduction in market consumption of chilled ready-meals.
Regarding the plans for Wrexham, Toal acknowledged the impact on the team and pledged to provide support and alternative roles if the proposals move forward. Despite challenges, Oscar Mayer remains focused on adapting to market changes and maintaining its position in the food and beverage industry.
