EXCLUSIVE 

TWO Workington firms have revealed around a fifth of their staff will be made redundant at each plant.

Hudson-Swan Engineering, based at Derwent Howe, is currently in consultation with six of its 23 employees.

Metals recycling facility Studsvik, at Lillyhall, is also in consultation with five of its 25 staff.

Mike Layfield, operations manager at Hudson-Swan, which specialises in supplying parts and components for machinery, said: "The trading position of Hudson-Swan has been in decline since January 2015. 

"The company has done everything possible to mitigate the effects to the workforce, but unfortunately, as a last resort, redundancies have had to be made.

"The decline in the steel industry, exacerbated over the last few days with the announcement by SSI, Redcar, that they have stopped production, has contributed to our trading position being weak. 

"In addition, our other main source of work is within the oil and gas industry.

"With the oil price being in freefall for a long time, very little if any investment is being made by the oil companies. 

"Both of these industries have been a lifeline for us in recent times, and the impact of both of them being in lock down has resulted in us having to take the action that we have."

The consultation is due to end on Thursday, October 1.

Studsvik said it a decrease in the demand for its service has forced it to review the costs of its metals recycling facility.

Mats Fridolfsson, president of Studsvik waste treatment business area, said: "It is regrettable that decreased market demand in the UK is causing this situation at metals recycling facility.

"However, Studsvik remains committed to the facilty and continuing to service the UK market in the longer term, in line with the wishes of our customers."

The consultation process is due to last a month, he added.