Fife furniture firm makes 247 workers redundant - BBC News
Havelock International in Kirkcaldy has faced problems over reduced demand for its products.
This video can not be played To play this video you need to enable JavaScript in your browser. Havelock workers were angry at news of the redundancies

Staff were told the news after being summoned to a meeting at the shop-fitting company's Kirkcaldy HQ.

The business, which employs about 300 people, has faced problems over reduced demand for its products.

Prior to the redundancy announcement, the GMB union had claimed cash-flow problems were due to non-payment of money from a contractor in Aberdeen.

It is understood " a small number" of employees will be kept on while the company winds down operations.

Havelock has been a major employer in Fife

David Baxendale, of administrators PwC, said Havelock International had faced a challenging trading environment for some time.

But the directors had finally concluded that there was no longer "any reasonable prospect for the company to continue to trade".

Mr Baxendale said: "Prior to our appointment, we explored ways that the business might continue to operate whilst a buyer was sought.

"However, regrettably this has not proved possible and it has therefore been necessary to make 247 employees redundant with immediate effect.

"Our priority is to ensure that all employees are assisted in processing their redundancy claims as a priority.

"We will be in further contact with all staff as soon as possible and will outline the support available to complete redundancy payment forms."

Union bosses said there had been an "angry response" from workers at the meeting, which was "entirely justified".

GMB Scotland's Allison Cairns said: "There are serious questions to be answered as to how the company was allowed to get to this point without the workforce being warned or consulted.

"The plain fact is that this factory does not need to close. There is a quality product here for a buyer willing to make this business work."

She added: "The consequences if a suitable buyer cannot be found will be simply dire for Fife, for what remains of Scottish manufacturing and worst of all for the 250 people employed here, some of whom will have worked here for a lifetime, all of whom are now faced with being left with nothing.

"GMB Scotland will do everything in our power to support and assist our members at this time."

The business was bought out of administration last year after the High Street slump dented order numbers.

Havelock International makes and fits furniture for shops and public buildings.

The firm used to be known as Havelock Europa and was sold through a pre-pack administration process last year to Havelock International, a new firm established by turnaround specialist Rcapital.

The sale came immediately after the appointment of PwC as administrators.