Colyton firm’s future in doubt

09:07 04 February 2014

Colyton CeramTec

Colyton CeramTec

Archant

CeramTec plant - which employs some 80 people - is facing closure because of continuing losses

One of the Axe Valley’s biggest employers is facing closure.

CeramTec has issued a warning that the future of its Colyton factory is in serious doubt because of continuing losses.

Some 80 people are employed at the plant which has operated in the town for nearly 50 years.

News that the international company’s UK base is at risk came in a statement from Sigurd Adler, chief technical officer.

He said: “The profitability and viability of the CeramTec UK Ltd production facility at Colyton has declined steadily over the last 10 years.

“Huge efforts have been made by the company and its hardworking employees to improve profitability through a variety of initiatives, but these have sadly not been enough to counter the effect of the overall economic situation, and changing market conditions affecting the group’s UK business.

“There seems little prospect of significant future improvement.

“The group is therefore considering closing production at its Colyton facility, selling the site and passing current products to their group global network. If that were to happen, the group would be able to make and distribute these products at a reduced overall cost, with a view to extending their viable life within the group.

“This possibility unfortunately means that a number of jobs may be at risk, and the company has now started a consultation process with workplace representatives about this.

“During that consultation process, the company will try to reach agreement with representatives on a number of issues, including ways and means of avoiding or reducing the number of redundancy dismissals, and mitigating their consequences.

“If following consultation the decision is taken to close production at Colyton, the group will try to support staff in any way it can.

“The CeramTec Group is very sorry to have to make this announcement, particularly when the UK Company has worked so hard to try to bring the factory into profitability.”

0 comments

Other News Stories

Thu, 12:50
East Devon District Councillor Derek Button, who died last month after a lengthy fight with cancer.

Tributes have been paid to one of East Devon District Council’s most respected councillors

Read more
Mon, 07:51
Seaton NatWest Bank - set to close in March. Photo Chris Carson

Campaigners say replacing NatWest branch with a mobile unit for an hour once a week is “wholly inadequate”

Read more
Sunday, January 25, 2015
Author Graham Hurley

Acclaimed crime writer Graham Hurley is giving a talk in Lympstone this week.

Read more
Thursday, January 22, 2015
Exmouth in action at Chard

It has been an eventful rugby week for yours truly with both my teams winning on the road.

Read more

Local Weather

Partly Cloudy

Partly Cloudy

max temp: 2°C

min temp: 1°C

Most Read News

Family notices
Advertise in the paper
Submit a Story
Submit a Story
Buy Photos
Competitions
iwitness24
Facebook
Twitter
Google Plus Page
Family Notices 24

Digital Edition

Image
Read the Midweek Herald e-edition today E-edition

Honiton's trusted business finder