Holbeach Hurn's A H Worth could be cutting jobs in business restructure due to 'competitive marketplace'
A vegetable grower could be shedding jobs as it undergoes a business restructure to ensure its ‘longevity’.
A H Worth said it is trying to minimise any job losses by redeploying people due to the challenges posed by a competitive market.
A consultation process is currently ongoing across the company and the exact number of redundancies is unlikely to be known until the summer.
The Holbeach Hurn based firm, which dates back to 1895, employs more than 500 people and produces potatoes, sweetcorn, leeks and salad crops.
The local branch of the National Farmers Union has warned of a reduction in domestic crops due to the many challenges facing producers - including high costs which many are unable to pass onto retailers.
A spokesman for A H Worth said: “We are currently undergoing the process of restructuring our business.
“This decision was not taken lightly, but it is necessary in order to address the challenges facing our business and to ensure our longevity in an increasingly competitive marketplace.
“During the transition, we will be working tirelessly to minimise the impact on our employees while guaranteeing our commitment to provide high-quality to our customers.
“We are still in the middle of the process and are doing all we can to redeploy our people across the business and to minimise any job losses.”
The company says the restructure is the result of its largest potato contract expiring in June which has not been renewed.
A H Worth says that it is committed to secure as many redeployment opportunities for affected staff between now and the end of June.
A H Worth began in 1895 when Arthur Hovenden Worth started farming in the Holbeach Marsh area. In the 1920s the company helped to introduce the Lincolnshire Potato Railway to get local produce to London markets.
Over the years the firm has grown by adding additional farmland and fresh prepared facilities.
It also began trading in other crops such as leeks and garlic in the last ten years, and in 2021, bought Emmett UK in Fosdyke.
A H Worth is now made up of four factories and has farms across the Holbeach area.
Concerns have been raised by the Holland branch of the NFU about the impact of the high costs on local producers - with some dropping production.
In a recent Word on the Ground column Jo Musson, county advisor, said: “The empty shelves in February reignited media interest in the supply chain. We have taken this opportunity to again raise public awareness of the huge cost price increases faced by growers, and the difficulty faced by growers in passing these costs on to retailers.
“Not many producers have been able to pass the increased costs of production to retailers since the spring of 2022.
“In some cases, no increase has been achieved at all. Often, as soon as a price increase is agreed - costs continue to soar and the situation only gets worse again.
“The impact of rising costs has driven growers to make business decisions that have seen, and will continue to see in 2023, a fall in domestic production.”