Jobs cut as Cropper targets cost savings

JAMES Cropper, the Lake District-based specialist paper and materials group, is planning to cut its UK workforce by 8% this year as part of a cost savings drive.

The Kendal company, said the restructuring process would help it save around £1m a year.

“The resultant increase in productivity will improve the company’s competitive position. The capacity and capability of the company’s three businesses will be unaffected by this process.”

According to its most recent annual report, the company has just over 500 staff, with the majority, 302, working in its Speciality Papers business. A cut of 8% would equate to around 40 jobs.

Although at an early stage, James Cropper said it expects to make provisions of around £800,000 in the accounts for the year to the end of March

In a brief trading update it said: “In a challenging economic climate, the company has performed well at the operating level, with pre-exceptional profit before tax for the year ended 31 March 2012 expected to be in line with market expectations.”