The number of cattle slaughtered and processed at the plant will fall from 1,000 to 600 a week. A single team will operate the plant rather than two teams working simultaneously, said a spokesman for ANM Group, owner of Scotch Premier Meat.
The spokesman attributed the decision to“difficult trading conditions”, within the meat industry. While the firm would try to avoid redundancies among the 159 staff who work at the plant, it was “unlikely” those could be avoided, he said.
If the redundancies go ahead, staff affected by the cuts will leave in early June.
ANM Group chief executive, Pat Machray said: “This is the start of the process to make our meat operation more efficient and more effective.
No easy answers
“I said at our AGM [annual general meeting] that there were no easy answers. And unfortunately these actions are necessary to help put Scotch Premier Meat back on a sound footing.”
The spokesman said the decision to cut cattle throughput would allow the firm to focus on quality. The facility will soon source 100% Scottish cattle and will concentrate on providing customers with better quality meat, he added.
The firm feared that a previous decision to increase production and open new markets had adversely affected customers’ perceptions of the firm’s beef quality.
A spokesman for Aberdeenshire Council said: “While we are disappointed at the loss of any local jobs, we hope that a buoyant local economy in the Inverurie area will offer those affected a good chance of obtaining new employment in the area.”
Redundancy
The firm had assured the council it will offer help to those at risk of redundancy, he said. Aberdeenshire Council had also promised further assistance if required.
In addition to beef, the plant also processes lamb, pork and venison. The firm said there were no plans to reduce the throughput of those meats.
ANM Group is a mixed farming, food and finance business. It owns a number of meat processors, caterers, livestock auction businesses and rural property services.
Earlier this year, ANM Group closed the Sheffield site of its Yorkshire Premier Meats processing arm.
Production was transferred to its site at South Kirkby, West Yorkshire due to what the firm described as “unsustainable levels of losses” at Sheffield.
It also sold meat processor, Charcuterie Continental to AP Jess Scottish Food Group in March.
