Political leaders have pledged to help workers that are to be made redundant by a major North Yorkshire employer.
On Thursday, insurance giant Legal & General announced the end of modular housing production at its 550,000 sq ft factory in Sherburn-in-Elmet, putting 475 jobs at risk.
The firm said it will review and assess “potential strategic options” for the division after halting operations.
L&G blamed “long planning delays” and the impact of the Covid-19 pandemic for weakness in the firm’s pipeline of orders for new homes.
It added that the group has not been able to “sustain the significant running costs of the large factory in Selby” as a result.
Legal & General announces end of house building at Sherburn-in-Elmet | York Press
Selby & Ainsty MP Nigel Adams called it “very sad” manufacturing would be wound down at the site on Sherburn Enterprise Park.
He told the Press: "They are a major employer and I will do all that I can to ensure that the workers who are made redundant are fully supported through this difficult period.
“I have visited the factory on a number of occasions since it was first opened and have been very impressed with the advanced production facilities and the high level of skill of staff who work there.”
Bob Packham, Sherburn’s councillor for the new North Yorkshire Council, says he has been talking to council officials about support for the workers, and they are already working with the Job Centre on this.
Coun Packham told the Press: “Any major business closure will have impacts on employees and their families both in Sherburn and the catchment area. There are vacancies on the industrial estate, and new employment development under construction.
“I contacted officers as soon as I was aware of the issue and I am pleased to say they had already reacted. I am sure they will do all they can to address the problem.”
He added: “I am obviously sorry for all those who have worked hard at L&G trying to make the business successful and are now having to look for new employment. The present economic situation is already putting pressure on families and I’m sure we all hope those affected are able to find suitable employment quickly.
“I am also sorry that the Company has had to make this decision. In a time of housing shortage, modular housing is an effective, and relatively green way forward.”
Coun Mark Crane, who was once leader of the former Selby District Council, said: “I am both surprised and disappointed at the news. Modular building was due to deliver an increase in homes across the UK but I am aware that L&G had struggled to find sites for the homes, which are a good quality. I am sorry for all those who work at the Sherburn site.”
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