The closure of BSW Timber Solutions’ Welshpool sawmill, confirmed on Monday, December 9, will result in the loss of more than 40 jobs.
BSW said it was making the job cuts at the Severn Farm Industrial Estate in Welshpool, the base for its builders’ merchant supply business stream, following a consultation with employees in November; and after a review of operations recommended ceasing operations at the Powys sawmill.
BSW Timber Solutions also operates a sawmill just outside Newbridge-on-Wye, but the company insists there is no threat to the future of its employees there – of which there are at least 115.
“There are no threats to jobs at our Newbridge site,” a spokesperson for BSW said.
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“No other sites [are] impacted other than shifting the focus to our Melton site and Carlisle site as [previously] mentioned.”
Announcing the redundancy consultation in November, BSW’s group operations director Mike Lomas said Welshpool operations will be moving to the BSW Timber Solutions site in Melton, while sales operations will move to Carlisle.
Most employees in Welshpool had their last working day on Friday, December 6, while a few have reportedly been kept on to manage the transition of moving everything out of the site to another BSW location.
Announcing the consultation, BSW Group said they were “changing the way in which we operate”, identifying that operating sites in both Welshpool and Melton, in East Yorkshire, “does not support customer requirements”.
“Following a comprehensive review of operations across all functions and business lines, BSW Group is proposing to cease operations at BSW Timber Solutions in Welshpool, with a view to improving profitability and strengthening its position in a challenging marketplace,” said Mr Lomas.
There are currently 115 employees at the Newbridge site, although that number is due to rise to 145 after expansion was granted last October.
News that it was expanding to create the first “super” timber sawmill in Wales, after being given the nod by Powys planners, revealed that 30 new jobs would be created there.
A planning application lodged with Powys County Council by David Burd of BSW includes two new buildings and associated works.
Planning agent Dylan Green, of Asbri Planning Ltd, said the location of the two new buildings will be within the grounds of the existing operations and will allow a more efficient means of working.
Mr Green said: “A new drop sorter building and a new operations building is proposed, which will increase the capacity and productivity of the business, creating the first super mill in Wales.”