Jobs axed at cardboard factory
Nearly 50 jobs have been lost at a cardboard factory in Wolverhampton after its parent company went into administration, it emerged today.
Nearly 50 jobs have been lost at a cardboard factory in Wolverhampton after its parent company went into administration, it emerged today.
Staff at Western Corrugated in Neachells Lane, Wednesfield, were told yesterday that it was closing down.
A total of 49 of the 54 staff were immediately made redundant, along with 82 of the 102 employed at the firm's main site in Cwmbran, Wales. The remaining 24 staff will stay on to help the administrators wind down the business and complete any remaining orders. The firm has made sheets of corrugated cardboard since 1984.
Joff Pope and Richard Hill of KPMG were appointed joint administrators of Western Corrugated on Monday after the business encountered trading difficulties, blamed on over-capacity in the sector and the effect of rising paper prices.
Mr Pope, of accountants KPMG, said today: "Unfortunately following our assessment of the business since our appointment, we have established that it is no longer viable and therefore have no choice but to cease trading with immediate effect."
