2 Sisters Food Group is preparing to eliminate jobs at a ready-meals facility in the UK as part of a restructuring initiative.
The company, a key supplier of private-label poultry to major supermarkets across the UK, did not disclose specific details regarding the plans at its Rogerstone location in Newport, South Wales, which operates under the RF Brookes division.
This facility, which specializes in producing chilled own-label ready meals encompassing various cuisines like Indian, Italian, and British, has a workforce of approximately 1,600 employees, according to information from 2 Sisters’ official site.
A representative from 2 Sisters, owned by billionaire entrepreneur Ranjit Singh Boparan, communicated to Just Food that “Having invested c.£20m [$26.8m] in the business we are proposing a minor restructure to drive efficiencies. These proposals impact around 5% of the workforce.”
This indicates that the anticipated job reductions could affect about 80 employees.
The spokesperson refrained from commenting on “speculation” related to a report from the South Wales Argus.
The South Wales Argus reported that employees at Rogerstone mentioned, during discussions with management, that consultations with staff were underway.
It was noted that the facility might be operating at a loss due to increasing expenses affecting ready meal orders, though employees chose to remain anonymous when providing this information.
In 2023, Wales felt another impact when 2 Sisters decided to close its poultry facility in Llangefni, Anglesey.
In broader business developments, Boparan made a move earlier in the year to expand his poultry operations in Germany by acquiring Heidemark for an undisclosed amount through his investment firm, Boparan Private Office (BPO).
Heidemark, a family-run turkey and chicken processor located in Ahlhorn, Lower Saxony, is set to become part of the Storteboom Food Group, also under BPO’s ownership.
In previous ventures, Boparan stepped in to save UK-based Roberts Bakery from administration last year through his investment firm.
Additionally, BPO played a role in the acquisition of another Welsh enterprise, Brace’s Bakery, in June.
For the last fiscal year, 2 Sisters recorded a revenue of £2.38 billion, reflecting an 8.5% increase in continuing operations, while profits before tax rose to £108.3 million from £72.8 million.